Cemex reported record first quarter results, noting that net sales increased 3% to $4.138 billion, with a 5% increase in EBITDA.
- Sales in the United States declined 2% to $1.234 billion.
- Sales in Mexico increased 20%, to $1.314 billion.
- In the Europe, Middle East, Africa, and Asia region, sales were down 9%, to $1.115 billion.
- Cemex’s operations in South, Central America and the Caribbean region reported sales of $422 million, an increase of 3%,
“Our first quarter in 2024 continued to build on an exceptional 2023,” said Fernando A. González, CEO of Cemex. “EBITDA represents a first quarter record for the company, despite fewer working days and difficult weather conditions in many markets. Our pricing strategy effectively outpaced input cost inflation, while our growth investments and Urbanization Solutions business were instrumental in driving EBITDA growth in the quarter.”
Cemex also announced that its subsidiary, Cemex Asia B.V., has signed an agreement with DACON Corp., DMCI Holdings,Inc. and Semirara Mining & Power Corp. for the sale of its operations and assets in the Philippines. Once closed, this transaction will further advance Cemex’s portfolio rebalancing strategy. The assets to be sold by Cemex Asia B.V. consist of:
- A 100% equity interest in Cemex Asian South East Corp., which owns approximately 89% of Cemex Holdings Philippines, Inc. (CHP), which is listed on the Philippine Stock Exchange, Inc., for a purchase price resulting from deducting from an enterprise value of $660 million the net debt and the 10.14% minority interest in CHP. CHP is the owner of Cemex’s main operating subsidiaries in the Philippines, APO Cement Corp. and Solid Cement Corporation, which are engaged in the production, sale, and distribution of cement and other buildings materials in the Philippines.
- 40% indirect equity interest in each of APO Land & Quarry Corp. (ALQC) and Island Quarry and Aggregates Corporation (IQAC), for a purchase price to be paid to Cemex of 40% of an aggregate enterprise value of $140 million.
Cemex currently expects to finalize this transaction before year-end 2024, subject to the satisfaction of closing conditions, including, but not limited to, the approval by the Philippine Competition Commission and the fulfillment of any mandatory tender offer requirement by the purchasers to the shareholders of CHP, including the approximate 10.14% minority interest owned by third parties in CHP.