Cementos Argos has released its results for 2013, a year in which it expanded its operations and continued to consolidated its market position. The Colombian cement manufacturer achieved an historical EBITDA of COP978 billion* up 24% y/y, aided by positive results across its regional operations. Consolidated revenue increased by 13.4% y/y and net income was up 67% y/y after excluding non-recurring income.
Total cement sales volumes reached 11.4 million t, 5% higher than in 2012, while concrete sales volumes grew by 10% y/y to 9.4 million m3. Volumes were higher than the preceding year in all of Argos’ regional markets.
In Colombia, construction activity helped revenue to rise by 12%, with 5.2 million t of cement dispatched. During the year, Argos sold 3.4 million m3 of concrete on the Colombian market, and continued to strengthen its position with the establishment of 18 new concrete plants. The company also increased its coverage to include eight additional cities in expectation of increasing demand from the infrastructure, commercial and residential sectors.
The recovery of the US construction industry boosted sales volumes in the region, with cement and concrete volumes up by 12% y/y and 5% y/y, respectively.
Economic growth and dynamism within the construction sector in Caribbean and Central American markets also proved beneficial for the cement producer in 2013. More than 3 million t of cement and 540 000 m3 of concrete was sold in the region in 2013, contributing to a 12% rise in revenue, which totalled US$448 million.
“2013 was a year that completely transformed this company. The successful issuance of preferred shares significantly helped us implement our expansion strategy, which materialised with the recent acquisitions in Honduras and Florida. The historical EBITDA obtained in 2013, close to COP1 trillion, complements the list of other goals that were achieved, for example, in the field of sustainability, recognised through the inclusion of the company in the Dow Jones Sustainability Index”, said Jorge Mario Velásquez, CEO of Argos.
*In Argos’ report, 1 billion = 1 000 000 000 and 1 trillion = 1 000 000 000 000.
Adapted from press release by Louise Fordham
Read the article online at: https://www.worldcement.com/the-americas/24022014/cementos_argos_2013_results_797/