Cemex, S.A.B. de C.V. announced that on a like-to-like basis for the ongoing operations and adjusting for foreign exchange fluctuations, consolidated net sales decreased by 1%, reaching $3.5 billion during the third quarter of 2019 versus the comparable period in 2018.
Cemex’s operations in the United States reported net sales of $1.044 billion in the third quarter of 2019, an increase of 5% from the same period in 2018.
Net sales for operations in Mexico, on a like-to-like basis, decreased 12% in the third quarter of 2019 to $716 million. Cemex’s operations in South, Central America and the Caribbean reported net sales of $417 million during the third quarter of 2019, representing a like-to-like decrease of 1% over the same period of 2018.
- The decrease in quarterly consolidated net sales was due to lower volumes mainly in Mexico and the Asia, Middle East and Africa region, partially offset by improved prices for products, in local-currency terms in most of the company’s regions.
- Operating earnings before other expenses, net, decreased by 14%, on a like-to-like basis, in the third quarter, to $409 million.
- Controlling interest net income during the quarter was $187 million, from $169 million in the same period of 2018.
Fernando A. Gonzalez, chief executive officer of Cemex, said, “In the third quarter, our business continued to be challenging and was negatively impacted by the weaker macroeconomic conditions in several of the markets we serve. In Mexico, we believe demand for our products is bottoming out and we are cautiously optimistic on renewed activity going forward given the expected announcement of a new infrastructure program. In the U.S., EBITDA improved during the quarter as a result of favorable pricing, and despite weaker volumes mainly due to weather and competitive dynamics in some of our markets. In our Europe and AMEA regions, we are pleased with the solid growth in EBITDA and expansion in margins driven primarily by favorable pricing and our cost-reduction initiatives.
“As part of our ‘A Stronger Cemex’ plan, we are committed to further strengthen our balance sheet through an important reduction in our debt and repositioning our portfolio for higher growth,” he said.