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Mexico's Cemex missing analysts' profit expectation

 

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World Cement,

Mexico's Cemex reported a third-quarter loss on 22 October. Analysts had expected Cemex to turn a small profit, but a cut in expenses failed to offset a drop in revenue.

Cemex shares fell by over 5% after a conference call with executives. Analysts expressed concern over the drop in revenue in the latest quarter amid currency volatility and competition, and the outlook for growth in the low-single digits.

The company lost US$44 million compared to a loss of US$106 million a year earlier, adjusted for asset sales in the quarter.

Analysts had expected the company to report a US$1 million profit, helped by lower costs and expenses.

Revenue fell 9% to US$3.7 billion, which a 10% decline in expenses to US$800 million failed to offset.


Edited from source by Joseph Green. Source: Reuters

 

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