CEMEX report second-quarter dip in sales

Results impacted by weaker construction and challenging global economic climate

CEMEX have announced consolidated net sales in the second quarter of 2019 decreased by 3%, to approximately US$3.5 billion, and operating EBITDA decreased by 14%, to US$644 million, compared with the equivalent period in 2018.

According to CEMEX, the fall in consolidated net sales was largely due to lower volumes from the company’s operating regions except for the US, where net sales of US$1,032 million in Q2 2019, an increase of 4% from the same period in 2018, was recorded. 

Commenting on the results, Fernando A. Gonzalez (pictured), chief executive officer of CEMEX, said: ‘The second quarter was impacted by the challenging global economic environment. Weaker-than-expected industrial activity and continued trade conflicts have resulted in lower investment in several of our markets. Mexico, in particular, has been affected by these factors which led to lower-than-expected volumes.’

Net sales in CEMEX’s Mexico operations decreased 14% in the second quarter of 2019 to US$752 million. Operating EBITDA was down 25% to US$245 million versus the same period of last year.

In Europe, net sales for the second quarter decreased 2% to US$885 million, compared with the same period in 2018, and operating EBITDA was US$144 million for the quarter. 

CEMEX’s operations in South/Central America and the Caribbean reported net sales of US$424 million during the second quarter of 2019, representing a 3% decline over the same period of 2018. Operating EBITDA decreased 14% to US$93 million in Q2 2019, compared with the same quarter of 2018.

Operations in CEMEX’s Asia, Middle East and Africa regions reported a 5% decline in net sales, to US$339 million, compared with the same quarter of 2018, while operating EBITDA was US$54 million, 6% lower from the same period last year.