Loma Negra reports 21% rise in revenue for 4Q20

Argentina's Loma Negra has announced a 20.6 per cent YoY rise in net revenue to ARS13.26bn (US$160m) for the 4Q20, compared to ARS11bn in the year-ago period. Consolidated adjusted EBITDA surged 40.8 per cent to ARS4.73bn from ARS3.36bn in the 4Q19, while net profit was up 93 per cent to ARS2.96bn.

"We finished the year in a very good way, when considering the unprecedented scenario that was presented since the beginning of the year. At that point in time, the fragile macroeconomic environment in the country was impacted by the emergence of the COVID-19 pandemic, making the future uncertain and blurred. More than ever, it was in that challenging context that we lean on our competitive strengths," said Sergio Faifman, Loma Negra's CEO.

Sales volumes of cement, masonry and lime in Argentina during the 4Q20 increased 26.9 per cent YoY to 1.62Mt, as strong household and retail demand continued to drive bagged cement sales, according to the company. Bulk cement also posted a volume increase of around seven per cent, as COVID-19 restrictions in private works began to be lifted.

In the full-year 2020 period, net revenue fell 12.8 per cent YoY to ARS41.62bn from ARS47.75bn in 2019. Consolidated adjusted EBITDA reached ARS13.28bn, up 2.5 per cent from ARS12.96bn. Net profit also increased 106.8 per cent YoY to ARS11.38bn during the year.

Cement, masonry and lime sales reported a 5.6 per cent YoY decline to 5.16Mt in 2020, mainly due to the impact of the lockdown in the 2Q20. The sales were supported by a slow recovery path in bulk cement and robust results in bagged cement.