GCC posts quarterly first quarter net loss, Mexico

Mexican cement producer Grupo Cementos de Chihuahua (GCC) posted a net loss of MXN98.6m (US$8.1m) in 1Q13 down from MXN109m in the same period of last year.

Unfavourable winter weather conditions in the US, the firm's largest market, and the peso appreciation against the US dollar negatively impacted the 1Q13 top line, with sales decreasing to MXN1.44bn from MXN1.5bn a year earlier. Operating costs also rose 2.8 per cent YoY as the operative result went into the red, dropping to MXN8m.

GCC is Mexico's fifth largest cement producer with three plants and a combined cement capacity of 2.25Mta. The firm, in which Cemex has a 36 per cent stake, also operates 2.5Mta of capacity across the border at its Pueblo works in Colorado, USA.