Peru: Unacem reports loss of US$1.15m in 3Q16

The company Union Andina de Cementos (Unacem), one of the two largest companies in the sector in Peru, reporteda loss of PEN3.9m (US$1.15m) in the third quarter due to lower sales due to a fall construction activity.

This result compared to a profit of PEN24.7m for Unacem between July and September 2015. Unacem revenues in the 3Q16 amounted to PEN464.6m compared to PEN496.1m in the same period last year.

From January to September, the cement company posted a profit of PEN354.5m compared to profit of PEN176.3m recorded in the same period of 2015.

The company also reported that clinker and cement production declined by 16.8 per cent and nine per cent, respectively, in the third quarter compared to the same period of 2015.

This year is expected to retract the construction sector 0.8 percent, after shrinking 5.86 percent in 2015. This is due to a drop in private investment and lower public works.

According to official figures, construction activity would recover to grow by four per cent next year from an announced revival of infrastructure projects in Peru.