Cementos Argos net profit rises

Cementos Argos, Colombia's largest cement producer, posted a net profit in 1Q12 of US$144m, from US$16m a year earlier. Operating revenue was US$587m, the company said in a statement Wednesday to regulators while EBITDA rose 40% last quarter from the same period a year earlier, to $110m.

For the first quarter of 2012, revenues from the Division rose to COP$ 569bn, an increase of 34%. EBITDA was COP$189bn, an increase of 47% from March 2011 and a record high for the company. The EBITDA margin of the division also increased and stood at 33% versus 30% in the first three months of 2011.

Sales volumes of Argos grey cement in Colombia for the first quarter of 2012 totalled 1.3Mt, an 8% increase over the previous year.

Consolidated revenues of the Caribbean Division amounted to US$115m, an increase of 18% over the first three months of 2011. EBITDA increased from US$23m in the first quarter of 2011 to US$25m in 2012, up 11%. This EBITDA was generated by 53% from Panama, 34% from the Cartagena plant, 7% from the Dominican Republic and 6% from Haiti.

The US the results presented an interesting improvement, Argos noted. Volumes continue to increase in both the Gulf region as well as the Southeast. While price levels are below historical levels, prices did stabilise during the quarter, even showing a slight increasing trend.