Cementos Pacasmayo announces 13% revenue increase in 1Q18

Cementos Pacasmayo SAA has announced a 12.8 per cent YoY increase in revenue in the first quarter of the year, rising to PEN315.3m (US$97.58m) from PEN279.5m. The positive result has been partially attributed to a 7.8 per cent increase in sales volume of cement, concrete and blocks. The company also recorded a 37.3 per cent surge in net income to PEN29.8m.

Cement EBITDA advanced 13 per cent to PEN94.7m, while the EBITDA margin of the sector remained consistent at 30 per cent. 

“Pacasmayo registered a very solid performance in the first quarter of 2018, as we benefitted from an improved demand environment, allowing for operational efficiencies which resulted in strong margins. While we are seeing the positive effects of a stronger cement market, Pacasmayo’s results this quarter do not fully incorporate the benefits related to rebuilding our country’s damaged infrastructure after the Coastal El Niño, which we expect to see in the months ahead,” said the company in its report.

The company also reported that it has updated its commercial name to ‘Pacasmayo’ and launched a new company logo.

“This is aligned to our long-term strategy and vision, evolving from a cement producer to a construction solutions company putting the client at the center of our overall strategy,” said the company.

Production
Total cement production of the company increased 6.1 per cent YoY in the 1Q18 to 0.557Mt, due to an increased demand. 

The company’s Pacasmayo facility recorded a 1.5 per cent dip in production, while its Rioja plant registered a 12.2 per cent fall. However, production at its Piura plant advanced 23.9 per cent, mainly attributed to increased demand in the northern region.