Semapa Group attributes 9M24 growth to cement operations

Semapa Group, the parent company of Portuguese cement producer Secil, has reported a net profit of EUR181.6m (US$197.3m) for the first nine months of 2024, marking an 8.6 per cent increase from the same period last year. The group attributes much of this growth to its cement and pulp operations, which generated a EUR36.9m increase in EBITDA despite challenging conditions in other business segments.

Secil saw turnover rise to EUR526.1m, a 1.4 per cent increase YoY. The company's EBITDA contribution of EUR118.6m underscores the resilience of the cement division, which remains pivotal to Semapa’s overall profitability. The cement segment benefitted from robust demand in key markets and operational efficiencies that supported stable margins, even as other areas of the business experienced declines.

Semapa’s group EBITDA reached EUR544.2m, up 7.3 per cent from September 2023, with the EBITDA margin improving to 25.5 per cent, partly due to the strong performance of Secil. “The cement division’s results are integral to Semapa’s financial health and growth strategy,” the group stated in its announcement to the CMVM.

Investment in Secil continued to strengthen the cement unit’s future position, with EUR68m allocated to fixed assets in the 9M24, part of an overall EUR233m investment across Semapa’s divisions. The group emphasised its focus on operational improvements and sustainable growth in the cement sector as core components of its long-term strategy.

As of 30 September 2024, Semapa’s consolidated net debt stood at EUR1,138.7m, an increase of EUR126.7m from the end of 2023, reflecting its strategic investment in both cement and other high-potential segments. Semapa’s cement operations continue to be a key driver in the group’s growth strategy.