By Anthony Harrup
MEXICO CITY–Mexican cement maker Cemex posted double-digit sales and operating profit for the fourth quarter, while a $613 million tax provision led to a net loss for the period.
Monterrey-based Cemex, one of the world’s largest building materials companies, said Thursday that its sales rose 10% from year-earlier quarter to $4.24 billion, driven by higher prices for its products in all regions where it operates.
Earnings before interest, taxes, depreciation and amortization, a measure of profitability, rose 18% to $743 million, supported by higher prices and easing cost inflation. Operating profit rose 20%.
Cemex reported a net loss for the October-December quarter of $441 million, or $0.30 an American depositary share, compared with a loss of $99 million a year earlier. The loss was the result of a provision made in the quarter related to a tax dispute in Spain.
Cemex’s full-year sales rose 12% to $17.42 billion despite lower volumes for cement and ready-mix concrete, and Ebitda increased 25% to a record $3.45 billion. Full-year net profit was $182 million.
The company said it plans a quarterly dividend program, with $120 million to be distributed the first year starting in the second quarter.
For 2024, Cemex projects low-to-mid single-digit growth in Ebitda, and capital expenditures of $1.6 billion, including $1 billion for maintenance. The company expects cement sales volumes to be flat to slightly higher, and ready-mix and aggregates volumes flat to slightly lower.
Write to Anthony Harrup at [email protected]
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