Cementos Pacasmayo records sales volume increase in 4Q17

Peru's Cementos Pacasmayo has announced its consolidated results for the fourth quarter and full-year period ended 31 December 2017. The sales volume of cement, concrete and blocks increased 7.3 per cent YoY in the 4Q17, attributed to growth in the self-construction market and an uptick in public sector spending. Cement EBITDA rose 13.9 per cent to PEN105.5m (US$32.2m), while the EBITDA margin of the sector expanded to 32 per cent.

Consolidated EBITDA fell 35.7 per cent due to a write-off in the company’s investment in the Salmueras Sudamericanas brine project, a non-cash capital impairment according to Wall Street Online. Net income, excluding the impairment, would have reached PEN36.5m which is 247.7 per cent up on the 4Q16.

Full-year results
Sales volume of cement, concrete and blocks decreased 0.8 per cent YoY in 2017, a small drop considering the negative effects of the coastal El Niño crisis on the first four months of the year. Cement EBITDA declined 2.2 per cent to PEN375.3m, but the margin was consistent with last year, at 30.6 per cent.

Consolidated EBITDA slipped 12.9 per cent as a result of the previously-mentioned Salmueras Sudamericans write-off, while net income from continuing operations would have reached PEN118.8m in line with the previous year.