Cemex Holdings Philippines Inc posted a net income of PHP875m (US$17.1m) in the first nine months of 2019, a reversal from the 9M18 loss of PHP663m as operating margins increased, income tax expenses were lower and the company gained in its foreign exchange transactions.

Nine-month sales were up two per cent in 2019 to PHP18.2bn, said the company in a stock exchange filing. Domestic volumes declined six per cent in the 3Q19 due to a fall in construction activity, mainly in the public sector. Delays in infrastructure projects impacted on private investment.

However, cement prices advanced three per cent in the third quarter following a price adjustment carried out last year.

“We continued to face lower construction activity during the third quarter. Nevertheless, we are pleased with what we have achieved through the first nine months of the year, particularly with our own efforts to optimise costs, maintain efficiencies, and improve our customers’ experience,” said Cemex Holdings Philippines Inc president and CEO, Ignacio Alejandro Mijares Elizondo. “We continue to believe in the long-term growth prospects of the Philippines, as infrastructure remains a vital engine for growth in the country,” he added.

Cost of sales, as a share of sales, remained level at 59 per cent in the 9M19 while operating expenses (as a share of sales) slipped three percentage points.