CEMEX, S.A.B. de C.V. announced strong results for the first quarter of 2022, with consolidated Net Sales and EBITDA growing 13% and 3%, respectively, on a year-over-year basis, despite a challenging cost environment.
The growth was led by a 12% increase in cement prices in like-to-like terms, 8% in ready-mix, and 7% in aggregates, with all regions contributing to pricing gains.
CEMEX’s operations in the United States reported Net Sales of $1,196 million in the first quarter, an increase of 18%. Operating EBITDA increased 2% to $200 million in the first quarter.
CEMEX is reporting:
- Net Sales increased 13% to $3,770 million.
- Operating EBITDA increased 3% to $691 million.
- Operating EBITDA margin declined by 1.7pp year-over-year with a sequential margin improvement.
- Free Cash Flow after Maintenance Capital Expenditures was negative $175 million, due primarily to higher investment in working capital and maintenance capex.
- On a like to like basis, adjusting for an extraordinary gain on sale of assets in 2021, Controlling Interest Net Income tripled to $198 million.
“We are quite pleased with our first quarter performance despite the unprecedented global macro challenges. Against the backdrop of the worst inflation headwinds in more than 40 years, we achieved strong pricing traction across our products. Given the tight supply/demand dynamics in most of our markets, we are optimistic that we can recover input cost inflation. In addition, our diversified energy, supply chain, and Climate Action strategies are paying off and helping us respond to energy cost pressures.” said Fernando A. González, CEO of CEMEX. “We are making significant progress on our climate action efforts, pushing the boundaries on innovation – introducing new sustainable products and developing breakthrough decarbonization technologies. Our performance gives me great confidence that we can reach not only our 2030 climate goal but also our Net Zero ambition.”
In its other global divisions:
- In the Europe, Middle East, Africa and Asia region, Net Sales increased 14% in the first quarter, to $1,185 million. Operating EBITDA was $145 million for the quarter, 33% higher.
- Net Sales in Mexico increased 5% in the first quarter, to $881 million. Operating EBITDA decreased 6% in first the quarter, to $286 million.
- CEMEX’s operations in the South, Central America and the Caribbean region, reported Net Sales of $416 million in the first quarter, an increase of 9%. Operating EBITDA decreased 3% to $109 million in the quarter.