Mexico: Cemex’s consolidated sales in the first nine months of 2021 were US$11bn, up by 5% year-on-year from US$9.4bn in the corresponding period of 2020. Its cement sales rose by 10% to 51.1Mt from 46.2Mt, while its ready-mix concrete volumes increased by 7% to 36.8Mm3 from 34Mm3. Its operating earnings before interest, taxation, depreciation and amortisation (EBITDA) totalled US$2.24bn, up by 24% from US$1.81bn. Its gross profit was US$3.63bn, up by 18% from US$3.07bn. During the period, the group reduced its debt by 33% to US$8.98bn from US$13.3bn.
Cement volumes grew in all regions in every quarter of the year except the third, when they fell by 3% in Mexico and remained level year-on-year in Europe, the Middle East, Africa and Asia. The quarter brought an end to five consecutive quarters of double-digit year-on-year growth in bagged cement sales in Mexico. Mexican bulk cement sales meanwhile ‘accelerated in line with the formal sector recovery.’ The sharpest nine-month cement volumes growth was in South, Central America and the Caribbean, where sales rose by 19% year-on-year, followed by Mexico, with a rise of 12%.
CEO Fernando González said “We are pleased to report strong top-line growth, reflecting continued growth in demand for our products, coupled with an acceleration in pricing momentum. We are confident that our pricing strategy will more than compensate for the sudden runup in input cost inflation we have experienced.” He added “We remain optimistic regarding outlook, as most of our markets are operating at high capacity utilisation and sustainable midcycle levels that will be supported by monetary and fiscal stimulus, while others are just beginning an upcycle. Regarding our Future in Action initiative, we continue to advance on our climate action goals. During the quarter, we received validation from SBTi of our 2030 decarbonisation roadmap and joined the Race to Zero initiative. Our climate action agenda is a fundamental element of our medium-term strategy not only because it creates value for stakeholders, but because it is the right thing to do for future generations.”
