InterCement Participações SA reported EBITDA growth of six per cent YoY in the 3Q24, on the back of margin recovery in Brazil taking into account the sale of the African operations in 2023, the group's current capital and operating structure.
The overall volume of 3.9Mt was down by 5.2 per cent YoY, impacted mainly by the challenging economic environment in Argentina, where volumes contracted 17.1 per cent YoY.
On the other hand, volumes sold in Brazil showed an increase of 3.7 per cent compared with the same period in the 3Q23 reflecting the recovery in the building materials industry. Total sales of BRL1971m (US$324m) decreased four per cent YoY, primarily attributed to a weaker top line performance of the cement business in Argentina, despite price increases having partially offset the lower volumes. Sales in Brazil declined 2.4 per cent in the quarter affected by softer prices and the sale of concrete operations in the year-ago period.
Adjusted EBITDA reached BRL506m, reflecting a six per cent increase compared to BRL477m recorded in the 3Q23, due to the combination of cost reduction in Brazil and the recognition of a tax credit. In contrast, EBITDA for the Argentine subsidiary was BRL232m, 11.3 per cent down YoY. Net debt stood at BRL6779m (not including interest payable), reflected an increase of eight per cent when compared to December 2023.
