Gcc Sab De Cv · BMV:GCC
Gcc Sab De Cv — Grupo Cementos De Chihuah — Q3 2025 Earnings Presentation
28 slides from Gcc Sab De Cv's earnings presentation, Oct 22, 2025
Slide 1: Q3 2025 Earnings Conference Call
Q3 2025 EARNINGS CONFERENCE CALL ENRIQUE ESCALANTE, CEO MAIK STRECKER, CFO OCTOBER 22, 2025
Slide 2: Safe Harbor Statement
This presentation has been prepared by GCC, S.A.B. de C.V. (together with other results to be materially different from the results expressed or its subsidiaries, “GCC”). Nothing within this presentation is intended to be implied by said projections. taken by any person as investment advice, a recom
Slide 3: Sharpened GCC's Long-Term Direction
Sharpened GCC’s Long-Term Direction Vision To improve quality of life by creating a better tomorrow To be the supplier of choice for high-quality construction materials, building Mission stronger communities, and creating lasting value for all stakeholders Strategies People, Growth and Planet 3
Slide 4: Highlights
HIGHLIGHTS • Q3 2025 unfolded against a mixed macro backdrop Trade rhetoric continued to • U.S. and Mexico cut interest rates influence project timing and investment decisions • Not yet sufficient to fully restore activity • Encouraging signal for improvement 10% Revenue growth 4
Slide 5: Q3 2024 vs Q3 2025 comparison
Q3 2024 • High bar with record margins • Launch of the cost and expense program • Tough comparison this year Q3 2025 • Margin compression was steeper than expected • Executing targeted commercial and cost measures • Support profitability into Q4 and 2026 • Operationally, plants ran normally 5
Slide 6: People: Strengthening GCC's Safety Culture
PEOPLE Strengthening GCC’s Safety Culture • Reduced recordable incidents by 18% YTD • Certified 75% of safety professionals • Serious Injuries and Fatalities (SIF) Prevention System • Internally train 450+ GCC leaders • New Enablon modules on Safety, Environment, and Sustainability • Support the sta
Slide 7: People: GCC Cement Training Institute
PEOPLE ∼12,000 GCC Cement Training Institute hours of training YTD Assessing needs to build tailored plans for next year 7
Slide 8: Planet
Expanded the share of blended cements 3ppt Alternative fuel 1ppt substitution PLANET Clinker factor 83% Blended products at Tijeras plant 18.7% 55ppt 2.2% Pueblo plant substitution through optimized Scope 1 CO2 tired-derived fuel gross emissions 8
Slide 9: U.S. Overview
U.S. OVERVIEW • Momentum in wind farm projects continued • Ready-mix plants ran at capacity 78% of sales • Four windfarm projects • Additional projects scheduled for next year • Participating in the Colorado Power Pathway • US$1.7 billion program Q3 25 vs. Q3 24 9M 25 vs. 9M 24 Volumes Prices Volume
Slide 10: U.S. Overview
U.S. OVERVIEW Steady Infrastructure Demand Residential Segment Under Pressure • Continued work on interstate highways • Affordability is still constrained • Advanced construction at the Denver • 30-year mortgage rate: ∼6.3% International Airport • Permits and starts remain subdued • Wrapping up Loop
Slide 11: U.S. Overview: Oil and Gas Activity Softened
U.S. OVERVIEW Oil and Gas Activity Softened Cement prices Softer demand and • Lower oil prices and rig counts decreased 3% in Q3 increased availability • Did not support higher production weighed on price realization • Lower oil-well cement share of U.S. cement volumes • Declined by 3 ppt US$8 per s
Slide 12: Mexico Overview
MEXICO OVERVIEW • Industrial demand remained subdued 22% of sales • Macro uncertainty kept decision-making cautious • Mining comparison base began to normalize • Residential demand remained robust • High single-digit growth YTD • Federal initiative projects Q3 25 vs. Q3 24 9M 25 vs. 9M 24 • Sustaine
Slide 13: Odessa expansion
Begin shipping cement in the summer of 2026 Drawing on GCC’s Experience Adding Capacity Odessa expansion remains fully on • Enter the market slowly track • Dispersing new sales through multiple small terminals Flexibility to switch between oil-well • Capturing savings in freight and distribution cem
Slide 14: M&A Strategy
M&A Strategy Remain active in evaluating opportunities in cement and aggregates Enhance the network within conservative leverage thresholds Deploy capital where it strengthens the network Meet the strategic and financial criteria Prepared to move decisively when the right assets are available 14
Slide 15: Financial Results
FINANCIAL RESULTS MAIK STRECKER, CFO
Slide 16: Consolidated Net Sales
CONSOLIDATED NET SALES +1.7% Q3 25 vs. Q3 24 9M 25 vs. 9M 24 1,031 1,049 Volumes Prices* Volumes Prices* 304 265 Cement +10.1% United States 6.4% -3.0% 3.0% -0.4% Mexico -3.3% 0.4% -7.2% 3.2% 439 398 97 95 728 784 Concrete 344 United States 52.7% 11.0% 32.9% 11.6% 302 Mexico -7.3% 0.6% -11.0% 2.2% Q
Slide 17: Cost of Sales
COST OF SALES % of sales • Higher production costs and expenses 58.4% 63.7% 61.5% 66.0% + 530 BPS + 450 BPS • Greater concrete share in the sales mix • Softer cement price realization • Higher fuel prices • Higher transfer freight 692 634 • Absence of the natural gas hedge benefit 279 232 Q3 24 Q3 2
Slide 18: SG&A and EBITDA
SG&A EBITDA % of sales EBITDA margin 7.1% 6.9% 8.9% 8.5% 40.7% 35.9% 36.7% 33.3% - 15 BPS - 50 BPS - 480 BPS - 340 BPS -7.8% -2.9% 92 89 379 349 28 30 162 157 Q3 24 Q3 25 9M 24 9M 25 Q3 24 Q3 25 9M 24 9M 25 (US$ Million) (US$ Million) 18
Slide 19: Net Financial Income and Net Income
NET FINANCIAL US$9M US$11.2M INCOME (19.5%) Q3 2025 Q3 2024 NET INCOME (6%) Net income as % of sales Q3 24 107 EPS = US$0.3276 27.0% - 3.9 PPT Q3 25 101 EPS = US$0.3076 23.0% (US$ Million) 9M 24 246 EPS = US$0.7512 23.8% - 3.3 PPT 9M 25 215 EPS = US$0.6557 20.5% (US$ Million) 19
Slide 20: Free Cash Flow
FREE CASH FLOW 84.1% Cash conversion rate US$ million 8 (15) (9) 12 (20) 157 132 EBITDA Interest income Working capital Taxes Accruals Maintenance Free cash flow Q3 25 increase and others CapEx Q3 25 20
Slide 21: Net Leverage Ratio and Cash
US$7M share repurchase program NET LEVERAGE RATIO Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 US$86M strategic investments -0.48x -0.56x -0.55x -0.67x -0.81x US$853.7M cash and equivalents 21
Slide 22: Delivered top-line growth, stable operations, and disciplined cost control
Delivered top-line growth, stable operations, and disciplined cost control Focused capital deployment while preparing the network for Odessa’s ramp-up 22
Slide 23: GCC's Direction
GCC’s Direction Refreshed GCC’s Investing to Vision and Mission, Staying strengthen the executing through disciplined on network for the People, Growth, costs and capital long term and Planet 23
Slide 24: Questions
QUESTIONS CONTACT: Maik Strecker, Chief Financial and Planning Officer mstrecker@gcc.com WWW.GCC.COM Sahory Ogushi, Head of Investor Relations soguship@gcc.com +52 (614) 442 3176 + 1 (303) 739 5943 2 4
Slide 25: Appendix
APPENDIX &}ccc
Slide 26: Income Statement
INCOME STATEMENT US$ million Q3 25 Q3 24 Var 9M 25 9M 24 Var Net sales 438.5 398.2 10.1% 1,048.9 1,031.4 1.7% Cost of sales 279.2 232.5 20.1% 692.5 634.2 9.2% SG&A 30.5 28.3 7.7% 88.7 92.0 -3.6% Other expenses, net 1.2 3.4 -65.0% 4.6 7.5 -38.3% Operating income 127.6 134.0 -4.8% 263.2 297.7 -11.6% O
Slide 27: Balance Sheet
BALANCE SHEET September 2025 September 2024 Variation Total assets 3,415.3 2,955.1 15.6% Current assets 1,268.2 1,281.0 -1.0% Cash and equivalents 853.7 897.2 -4.9% Other current assets 414.6 383.8 8.0% Non-current assets 2,147.1 1,674.1 28.3% Plant, property and equipment 1,733.4 1,278.2 35.6% Good
Slide 28: Free Cash Flow
FREE CASH FLOW US$ million Q3 25 Q3 24 Var 9M 25 9M 24 Var EBITDA 157.4 162.1 -2.9% 349.3 378.9 -7.8% Interest income (Expense) 7.9 15.2 -48.0% 22.8 39.5 -42.3% Decrease (Increase) in Working Capital (15.2) (5.1) 199.1% (65.5) (81.0) -19.1% Taxes (9.1) (27.1) -66.4% (42.1) (58.7) -28.3% Prepaid expe
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