Skip to main content

CEMEX counts costs as 1Q18 earnings fall

Published by
World Cement,

CEMEX reported consolidated cement volumes of 16.1 million t in 1Q18, a 1.3% increase on the same period in 2017. Revenues were up as result at US$3.4 billion, an 8% increased on the previous year (2% on a like-for-like basis).

The increase in sales was due to higher prices in Mexico, the US, Europe, and Asia, Middle East and Africa regions, as well as higher volumes in the US and Asia, Middle East and Africa regions.

“The first quarter of 2018 was characterised by solid operating results with good consolidated daily volumes and improved pricing performance,” said Fernando A. Gonzalez, CEO of CEMEX, in a statement.

Higher revenues were offset by higher costs, mainly related to distribution expenses and higher energy costs. This hit operating earnings, which fell 4% to US$535 million (6% on a like-for-like basis).

Seasonal effects, including adverse weather in Europe and the US, fewer business days, and an “inventory costing-variation”, also drove earnings generation lower, Gonzalez added. Like-for-like earnings were down most regions except Mexico, where operating EBITDA rose 10% to US$299 million.

“For the rest of 2018, we expect favourable consolidated volumes and improving pricing dynamics in most of our markets,” added Gonzalez. “Together with an expected moderation in our energy cost increases and our initiatives to contain other costs, this should translate into increased operating EBITDA generation for the full year.”

Read the article online at:

You might also like


Optimisation 2020

Optimisation 2020 provides a unique online forum for cement industry professionals to hear first-hand from experts through a series of exclusive presentations from cement producers and industry experts.

Find out more and register for the series »



World Cement Spotlight with Rockwell Automation

World Cement Editor, David Bizley, sat down with Michael Tay, Advanced Analytics Product Manager at Rockwell Automation to discuss his recent article in World Cement.

Entitled ‘Smooth Sailing’, this article explains how machine learning can help save energy, reduce downtime and predict equipment failures, thus enabling the smooth running of cement plant operations.

Watch the interview now »


High-level control in cement production

Dirk Schmidt and Eugen Geibel, KIMA Process Control, discuss how the methods of High-Level Control (HLC) have been used in the cement industry in the early 2000s and control ever more complex closed-loop-controlled processes where standard controllers fail.


Embed article link: (copy the HTML code below):


This article has been tagged under the following:

Cemex news Cement news 2018