During the first nine months of the year, Cemex' turnover declined by 7.2 per cent to US$10,722.4m while the EBITDA was 1.4 per cent lower at US$1,974.3m. The trading profit, however, advanced by 5.8 per cent to US$1264.6m while the net interest charge declined by 24 per cent to US$962.4m.

Pre-tax profit improved by 41.1 per cent to US$166m. A 43.5 per cent lower tax charge led to the net attributable loss shrinking from US$325.9m to US$77.3m.

Net debt at the end of September was 5.2 per cent lower than a year earlier at US$15,124m, giving a gearing level of 183.5 per cent compared with 157 per cent a year earlier. However, only 2.5 per cent of the gross debt is short term. The number of employees at the end of September was 0.1 per cent higher at 42,857. In the full year, Cemex is expecting capital expenditure to reach around US$800m, of which US$500m would be for maintenance.

Turnover contributions
Mexico accounted for 20.3 per cent of turnover, compared with 19.5 per cent a year earlier and the Mexican share of the EBITDA was 37.2 per cent compared with 36.4 per cent a year earlier.

The United States represented 24.9 per cent of turnover and 19.9 per cent of EBITDA, up from 13.6 per cent a year earlier and only 8.3 per cent two years ago.

Northern Europe represented 21.6 per cent of turnover and for 12.9 per cent of the EBITDA, while the Mediterranean region accounted for 9.9 per cent of turnover and 9.8 per cent of the EBITDA.

South & Central America produced 13.6 per cent of the turnover and 22.6 per cent of the EBITDA and Asia contributed 4.7 per cent of turnover and 6.6 per cent of the EBITDA. 

Shipment update
Cement shipments in the nine month period showed a one per cent improvement to 49.57Mt while aggregates deliveries declined by 6.9 per cent to 111.08Mt and ready-mixed concrete deliveries were off by 0.3 per cent to 39.78m m³.

Mexico
The Mexican turnover was 7.6 per cent lower at US$2175.1m, the third successive decline. EBITDA came off by 0.9 per cent to US$735.4m but the trading profit did recover by 2.4 per cent to US$619.8m.

Domestic deliveries of grey cement improved by four per cent, though the third quarter showed a four per cent decline, with the main segments showing lower volumes. Cement prices improved by eight per cent in local currency but declined by nine per cent in US dollar terms.

The aggregates volume declined by 5 per cent and while average domestic prices improved by seven per cent, it eased by10 per cent in US dollar terms. Ready-mixed concrete deliveries were off by one per cent while the local currency price came off by an average 11 per cent.   

US
The US turnover rose by 7.7 per cent to US$2,968.1m as the trading environment continued to improve and the EBITDA advanced by 38.5 per cent to US$392.2m. At the trading level, a profit of US$93.7m after several years of losses.

Housebuilding remained a strong positive factor, but industrial and commercial activity also registered increased growth, as did infrastructural demand on the back of increased state spending. On the other hand, demand for oil well cement declined.

Grey cement deliveries increased by one per cent in the nine months and by four per cent in the third quarter, while the average price improved by seven per cent. Shipments of aggregates were stable, but declined by two per cent in the third quarter.  In ready-mixed concrete, delivery volumes rose by 13 per cent with prices improving by six per cent.

Northern Europe
Cemex' Northern European turnover declined by 21.9 per cent to US$2319.2m, but the EBITDA came off by just 3.4 per cent to US$254.1m while the trading profit rose by 28.9 per cent to US$133.1m.

Deliveries of grey cement eased by 1 per cent in the nine months, but fell by 9 per cent in the third quarter. Aggregates shipments across the region fell by 18 per cent and ready-mixed concrete deliveries were down by 13 per cent. Cement deliveries improved by nine per cent in Great Britain and by 19 per cent in Poland.

Cement prices improved by four per cent in Great Britain, while they came off by six per cent in Poland. In aggregates, volumes rose by four per cent in Great Britain, but declined by seven per cent in Poland and by three per cent in France.

Aggregates prices improved by nine per cent in Poland and by six per cent in Great Britain but were off by one per cent in France. Ready-mixed concrete volumes improved by 27 per cent in Poland were off by one per cent in Great Britain and by eight per cent in France. Ready-mixed concrete prices improved by six per cent in Britain and by two per cent in Poland, but declined by one per cent in France. The majority of the German operations were sold to Holcim, but Holcim’s Czech interests were acquired as part of the deal. 

Mediterranean
The Mediterranean region saw turnover decline by 7.4 per cent to US$1,066.3m and the EBITDA fell by 20.8 per cent to US$193.8m while the trading profit was down by 25.1 per cent to US$139.3m. Overall regional domestic cement deliveries were down by four per cent and the overall average selling price in local currencies was stable.

In Spain, cement deliveries rose by 32 per cent, but adjusting for the assets acquired from Holcim, the underlying improvement was around 5 per cent. The average price improved by four per cent. Spanish aggregates shipments were stable but the price declined by 4 per cent, while in ready-mixed concrete deliveries fell by 18 per cent but prices improved by 15 per cent.

In Egypt cement volumes came off by 13 per cent and local prices eased by two per cent and by 10 per cent in US dollar terms, while in aggregates volumes were 15 per cent lower, but the average price rose by 107 per cent. Egyptian ready-mixed concrete deliveries were up by no less than 50 per cent and prices rose by 14 per cent.

A sale of the activities in Croatia and neighbouring countries has been agreed but not yet concluded.

South America, Central America and the Caribbean
The Cemex operations in South America, Central America and the Caribbean saw turnover decline by 13.3 per cent to US$1,459.7m and the EBITDA was 20.7 per cent lower at US$446.6m and the trading profit was off by 22.3 per cent to US$386.8m.

Cement volumes declined by three per cent and prices in local currency were one per cent ahead and they were off by 13 per cent in US dollar terms. Aggregates volumes were one per cent higher and local prices were three per cent ahead, while in ready-mixed concrete, volumes unchanged and prices were four per cent higher.

In Colombia, the biggest market, cement volumes declined by nine per cent, but local prices improved by five per cent, with aggregates volumes declining by three per cent though prices improved by three per cent while in ready-mixed concrete volumes were stable and prices improved by five per cent. In Panama volumes declined in cement and in concrete but rose in aggregates. 

Asia
Asian turnover advanced by 10.2 per cent to US$503.4m and the EBITDA rose by 31.4 per cent to US$130m. Cement volumes improved by 17 per cent across the region, with the Philippines, the largest contributor, showing a 23 per cent advance.

The average cement price was three per cent ahead in local currency terms and by one per cent in US dollar terms. In aggregates, volumes declined by 14 per cent and the average price eased by two per cent, while in ready-mixed concrete, volumes were off by six per cent, but prices improved by two per cent. There are still no downstream operations in the Philippines, Cemex’ biggest cement market in the region.