Cementos Molins records a net profit of EUR22m in 1Q22

Cementos Molins released its results for the 1Q22, a period highlighted by strong energy, logistic, and raw material cost inflation that started by mid-2021.

In the first three months of the year, Cementos Molins' revenues achieved EUR274m, 23 per cent higher than the same period of the previous year. This significant increase is driven mainly by last year’s acquisitions and the higher activity in South America. On a LfL basis of currencies and consolidation scope revenues increased by four per cent.

The contribution of selling price increases and operational efficiency plans have offset partially the impact of significant costs inflation especially focused on energy, raw material and logistic, which has been particularly high in Spain. EBITDA amounted to EUR59m, five per cent lower than same period of the previous year.

Cementos Molins achieved a net profit of EUR22m, a drop of 34 per cent compared to the same period of the previous year, due to the aforementioned costs increase with lower operating results, and the increase in financial expenses that include the impact of exchange rate fluctuation.

Following the acquisitions completed in 2021, Cementos Molins' net financial debt, as of 31 March 2022, amounted to EUR190m, reaching a comfortable net financial debt/EBITDA multiple of only 0.8 times. 

Regarding inorganic growth during the first quarter of the year, Cementos Molins successfully closed at the end of March the acquisition of the aggregates and ready-mix concrete businesses in Catalonia from Hanson Hispania after receiving approval by the regulatory authority.

Julio Rodríguez, CEO of Cementos Molins, considers that: "The year 2022 has an uncertain and highly complex global environment, in which the war in Ukraine and its global effects are added to the previously existing problems of costs inflation and supply chain disruptions. Despite this complex environment, we expect to continue in 2022 the path of solid results achieved in previous years."