In the first three months of 2025, Cementir Group's cement and clinker sales volumes, totalling 2.2Mt, decreased by 6.2 per cent compared to the same period of 2024, mainly due to the Turkish government’s ban on exports to Israel active from the second quarter of 2024, as well as to the general decline in the main geographical areas with the exception of Malaysia, Egypt and China.
Ready-mixed concrete sales volumes, equal to about 1.1Mm3, increased by 2.1 per cent due to the positive performance of Nordic & Baltic and Belgium, while there was a decline in Türkiye.
In the aggregates sector, sales volumes amounted to 2.4Mt, substantially in line with the same period of the previous year, with increases in Türkiye and Denmark, stability in Belgium and a decline in Sweden.
The group’s revenue from sales and services amounted to EUR370.5m, up by 0.9 per cent compared to EUR367.1m in the 1Q24, despite the reduction in volumes in many regions and the depreciation of the Turkish and Egyptian currencies against the Euro. In particular, in the Nordic & Baltic regions, Türkiye and Malaysia, revenues increased compared to the same period of the previous year. It should be noted that at constant 2024 exchange rates, revenues would have reached EUR382.1m, 4.1 per cent up on the same period last year.
The cost of raw materials, equal to EUR147.6m, decreased by 6.4 per cent compared to EUR157.7m in the first quarter of 2024, due to the reduction in the purchase price of some factors of production, lower production and the exchange effect, especially in Türkiye.
EBITDA reached EUR69.7m, up by 0.5 per cent compared to EUR69.3m in the 1Q24, following a significant improvement in results in the Nordic & Baltic area and Malaysia, offset by a reduction in all other regions and a negative exchange rate effect of EUR4.8m.
Profit before taxes was EUR39.7m, a decrease of 38.1 per cent on EUR64.1m in the 1Q24.
Regional performance
Denmark
In the first quarter of 2025, sales revenues reached EUR 111.7m, an increase of six per cent compared to EUR105.4m in the 1Q24.
Norway and Sweden
In Norway, ready-mixed concrete sales volumes increased by 13 per cent compared to the first quarter of 2024, supported by favourable weather conditions and the start of some major projects. In Sweden, ready-mixed concrete volumes grew by seven per cent compared to the first quarter of 2024, mainly thanks to deliveries related to a major project started in August 2024 and still ongoing. Aggregates volumes, on the other hand, fell by 14 per cent due to the shortage of new infrastructure projects in the south of the country, in addition to excess production capacity.
Belgium
In the first quarter of 2025, cement sales volumes on the domestic market fell by eight per cent compared to the same period of 2024, due to persistent weak demand. Exports registered a double-digit decline, with negative results in particular in the north of France, while the Netherlands remained stable compared to the previous year. Sales revenues decreased by 5.1 per cent to EUR75.4m, compared to EUR79.4m in the same period of 2024.
North America
In the United States, white cement sales volumes decreased by seven per cent compared to the first quarter of 2024.
Türkiye
Cement and clinker exports fell by 54 per cent compared to the first quarter of 2024, almost entirely due to the Turkish government’s ban on exports to Israel, active from the second quarter of 2024. Revenues amounted to EUR 77.4m, up 5.7 per cent compared to the first three months of 2024 (EUR 73.3m), penalised by the 13.7 per cent devaluation of the Turkish Lira compared to the average Euro exchange rate in the first quarter of 2024.
Egypt 1Q24, mainly due to the devaluation of the Egyptian pound (-38 per cent against the Euro compared to the first quarter of 2024), compared to revenues in local currency up 27.7 per cent. Sales volumes of white cement increased by three per cent thanks to export performance that more than offset the reduction in volumes in the domestic market, penalised by the weakness of the construction market. Expors to the United States, Israel and Greece increased, while sales to Europe fell.
Asia Pacific
China
Sales revenues fell by 5.5 per cent to EUR9.9m from EUR10.4m in the 1Q24 following the reduction in sales prices, in a context of stagnant demand awaiting the effects of the numerous economic stimulus measures introduced by the government and high levels of inventories, and a consequent pressure on sales prices. Although volumes were in line with the first quarter of the previous year, weak prices led to falling revenues and an EBITDA down 49.7 per cent to EUR0.9m (EUR 1.8m in the same period of 2024).
Malaysia
Sales revenues increased by 17 per cent to EUR12.1m (EUR10.4m in the corresponding period of 2024), thanks to higher sales volumes mainly concentrated on exports. Overall volumes increased by 36 per cent mainly due to time differences in clinker shipments to Australia compared to the first quarter of 2024. The domestic market, on the other hand, recorded a decrease of 11 per cent, attributable to the advance of some orders in December 2024. Cement exports grew by eight per cent compared to the first quarter of 2024, thanks to higher deliveries to the Philippines and Cambodia, and lower volumes in Vietnam.
Outlook
The macroeconomic scenario remains characterised by a high degree of uncertainty, exacerbated by the recent protectionist measures taken by the US administration, which could affect the growth rate of the global economy later this year. Overall, the results for the first quarter of 2025 were in line with management expectations.
