InterCement - March 2019

Argentina's Loma Negra, part of InterCement, generated a 7.9 per cent YoY increase in turnover to the equivalent of US$789m, helped by a favourable pricing environment in Argentina. When compared to the year-ago period, in 2018 the turnover improved by 1.9 per cent in Argentina and by 24.2 per cent in Paraguay. EBITDA advanced by 14.5 per cent to US$220m, with the margin improving to 26.6 per cent. over the same period. Net financial costs increased, with the year end debt amounting to US$81m, with 41 per cent being US dollar, denominated. 35 per cent of the capital expenditure during the year was applied to the financing of the expansion of the l’Amali cement works. The pretax profit declined by 21 per cent and net profit dropped by 48.7 per cent in 2018.

The cement volume declined by 4.3 per cent YoY to 6.68Mt in 2018. The volume in Argentina came off by 4.7 per cent to 6.12Mt, while the Paraguayan volume eased by a marginal 0.4 per cent to 0.57Mt. The aggregates volume emerged 1.6 per cent ahead at 1.09Mt, while the ready-mixed concrete sales rose by 30 per cent to 1.07Mm³. The railway segment saw a 4.6 per cent reduction in the amount handled to 4.75Mt as a result of reduced construction activity.