Cementos Pacasmayo 1Q net profit down by 5%

Revenues of Peru-based Cementos Pacasmayo SA declined 8.6 per cent YoY to PEN480m (US$131.4m) in the first quarter of 2023.

"The intense rains that hit the north of the country, produced by Cyclone Yaku, affected the company's operations, especially in February and March. The foregoing was offset by the increase in average cement and concrete prices compared to 1Q2022," according to a report from Kallpa SAB.

EBITDA decreased by 5.3 per cent YoY to PEN120.7m in the 1Q23. However, the EBITDA margin improved by 0.8 percentage points to 25.1 per cent due to a reduction in the use of imported clinker, which in turn, translated into a 1.1 percentage point YoY pick-up in the gross margin of the sale of cement in the 1Q23.

Net profit felly by 4.8 per cent YoY to PEN43.5m due to lower sales but benefitting from cost reductions and lower income tax expenses.