Argentina’s Loma Negra has reported a 29.6 per cent fall in net revenue to ARS7.77bn (US$122m) in the first quarter of 2020, compared to ARS11bn in the year-ago period. The company’s net profit saw a 44.4 per cent YoY decline to ARS881m from ARS1.58bn.
Consolidated adjusted EBITDA was down 17.9 per cent YoY to ARS2.60bn, while the adjusted EBITDA margin increased to 33.5 per cent from 28.7 per cent.
"In this unprecedented COVID-19 situation, we are proud of the resilience and ingenuity showed by our people to avoid the obstacles faced and to keep on contributing running the business," said Sergio Faifman, CEO.
As a result of the coronavirus pandemic, cement demand in Argentina contracted by around 29 per cent YoY in the 1Q20, according to the company.
After the first week of April, Loma Negra resumed production and dispatches of cement while adopting new sanitation protocols. Following the issuance of government permits, work on the L'Amalí expansion project has now also resumed.
Sales volumes of cement, masonry and lime in Argentina during the first three months of 2020 declined 26.9 per cent YoY to 1Mt. The bulk segment was impacted more severely than the bag segment, due to the halt in public and private infrastructure works.
In Paraguay cement, masonry and lime sales decreased 13 per cent YoY in the first quarter to 0.13Mt from 0.15Mt in the 1Q19.
