Cemex SAB de CV Cert Part Ord Repr 2 ShsA & 1 ShsB · BMV:CEMEX/CPO
Cemex SAB de CV Cert Part Ord Repr 2 ShsA & 1 ShsB — Cemex SAB DE CV — Q3 2017 Earnings Presentation
27 slides from Cemex SAB de CV Cert Part Ord Repr 2 ShsA & 1 ShsB's earnings presentation, Oct 26, 2017
Slide 1: Results 3Q17
RESULTS 3Q17 October 26, 2017 RESULTS3Q17
Slide 2: Forward looking information
||Forward looking information This presentation contains forward-looking statements. In some cases, these statements can be identified by the use of forward-looking words such as “may,” “should,” “could,” “anticipate,” “estimate,” “expect,” “plan,” “believe,” “predict,” “potential” and “intend” or o
Slide 3: Financial Results Summary
||Financial Results Summary Net Sales Operating EBITDA Margin EBITDA (US$M) (US$M) (%) -6% 1,012 954 -8% 340—30% -8.6pp 312 -38% -10.7pp 340 . 6% 33 114 . 4% 239 . 0% 33 25 . 7% 71 22 9M16 9M17 3Q16 3Q17 9M16 9M17 3Q16 3Q17 9M16 9M17 3Q16 3Q17 3
Slide 4: Consolidated Volumes and Prices
||Consolidated Volumes and Prices 9M17vs. 3Q17 vs. 3Q17 vs. 9M16 3Q16 2Q17 Volume 0% -1% 0% Our consolidated volumes Domestic for our three core products gray Price (USD) -9% -11% -2% cement decreased during 3Q17, Price (LtL1) -10% -11% -2% mainly resulting from weaker demand in Colombia and Panama,
Slide 5: EBITDA Variation YTD
||EBITDA Variation YTD 17 -30% 340 -12 -85 8 -4 -10 2 239 EBITDA Vol Price O. Costs Dist SG&A Fx EBITDA YTD16 YTD17 33.6% 25.0%—8.6pp EBITDA EBITDA Margin Margin YTD16 YTD17 5
Slide 6: Regional Highlights
REGIONAL HIGHLIGHTS Results 3Q 176
Slide 7: Results Highlights Colombia
Results Highlights Colombia 7
Slide 8: Colombia – Results Highlights
||Colombia –Results Highlights National cement dispatches 9M17 9M16 % var 3Q17 3Q16 % var remain subdued. We estimate that national cement Net Sales 432 512 -16% 142 173 -18% demand decreased by 1.3% and 2.5%, Financial Op. EBITDA in 3Q17 and 9M17, respectively, on a Summary 83 176 -53% 22 60 -63% U
Slide 9: Colombia – Residential Sector
||Colombia –Residential Sector Challenging economic conditions have affected middle and high income housing developments this year Social interest housing has been the main driver of demand for this sector in 2017 Cement demand from residential sector is expected to decrease in the mid single digits
Slide 10: Colombia – Infrastructure Sector
||Colombia –Infrastructure Sector Infrastructure works should drive cement demand in 2017, mainly as a consequence of:—Initial works of 4G program—Increased disbursements from the royalties fund—Vías de la Equidad program—Construction of public schools Infrastructure developments in Bogota remain su
Slide 11: Colombia – First carbon-neutral fleet in the country
||Colombia –First carbon-neutral fleet in the country CEMEX Colombia received carbon-neutral certification for its entire fleet Emissions of vehicles are offset by planting and maintaining approximately 480,000 trees in Orinoquía, a post-conflict, and nature rich zone of Colombia This forestry proje
Slide 12: Results Highlights Panama
Results Highlights Panama
Slide 13: Panama – Results Highlights
||Panama –Results Highlights 9M17 9M16 % var 3Q17 3Q16 % var While our cement volumes Net Sales 212 200 6% 71 70 1% declined, our ready-mix and Financial aggregates volumes increased Summary Op. EBITDA 87 90 -3% 30 32 -8% US$ Million during 3Q17,compared to those of 3Q16 as % net sales 41.3% 45.3% (
Slide 14: Panama – Sector Highlights
|| Panama –Sector Highlights Infrastructure works should continue to drive demand for our products in the country. Unfortunately execution of new projects is taking longer than anticipated Strong pipeline of infrastructure projects should be supported by Government revenues. Potential investments of
Slide 15: Results Highlights Costa Rica
Results Highlights Costa Rica
Slide 16: Costa Rica – Results Highlights
||Costa Rica –Results Highlights 9M17 9M16 % var 3Q17 3Q16 % var Second consecutive quarter with Net Sales 114 120 -5% 37 38 -2% growth in daily cement sales Financial on a year-over-year basis Summary Op. EBITDA 40 49 -18% 13 14 -6% US$ Million as % net sales 35.2% 40.7% (5.5pp) 35.1% 36.8% (1.7pp)
Slide 17: Costa Rica – Sector Highlights
|| Costa Rica– Sector Highlights Demand for our products in upcoming quarters should be driven by the execution of :—Oxígeno project—Northern Beltway—Route 32—Hotels and warehouses—Works in public universities We recently secured most of the supply for Oxigeno, the biggest private project in the cou
Slide 18: Results Highlights Rest of CLH
Results Highlights Rest of CLH
Slide 19: Rest of CLH – Results Highlights
||Rest of CLH –Results Highlights 9M17 9M16 % var 3Q17 3Q16 % var Our cement volumes grew in Net Sales 215 197 9% 67 64 5% 3Q17 for 9th consecutive quarter, Financial on a year-over-year basis, despite Summary Op. EBITDA 66 65 1% 19 20 -8% adverse weather conditions US$ Million as % net sales 30.4%
Slide 20: Rest of CLH – Nicaragua highlights
||Rest of CLH –Nicaragua highlights Our cement volumes increased on a year over year basis despite severe weather in 3Q17 We estimate that construction of roads and hospitals, should drive demand for our products in the following quarters. Construction works for new residential projects have slowed
Slide 21: Rest of CLH – Guatemala highlights
||Rest of CLH –Guatemala highlights National cement consumption was affected this quarter by rainy weather, and a decrease in demand from two mining projects Our cement dispatches decreased by 11% and 10% during 3Q17,against those of 3Q16 and 2Q17, respectively Residential, and industrial and commer
Slide 22: Free Cash Flow
FREE CASH FLOW 3Q 17 Results
Slide 23: Free Cash Flow
||Free Cash Flow US$ Million 9M17 9M16 % var 3Q17 3Q16 % var During 3Q17 and 9M17, while Operating Op. EBITDA EBITDA 239 340 -30% 71 114 -38% EBITDA declined US$43 M and —Net Financial Expense 47 49 15 20 US$101 M, FCF1 only decreased —Maintenance Capex 36 32 13 10 US$6 M and US$27 M, respectively,
Slide 24: Guidance
GUIDANCE 3Q 17 Results
Slide 25: 2017 Guidance
||2017 Guidance Volume YoY% Consolidated volumes in 2017 Cement Ready—Mix Aggregates expected to decline: Colombia Cement: 1% (5%) (13%) (18%) Ready-mix: 6% Aggregates: 7% Cement Ready—Mix Aggregates Maintenance and Strategic Panama 4% 11% 18% Capexin 2017 are expected to be about US$51 M and US$29
Slide 26: Consolidated debt maturity profile
||Consolidated debt maturity profile US $922 Million 600 Total debt as of September 30, 2017 2.7x Net Debt/EBITDA (LTM)1 US$ Million as of September 30, 2017 322. 1 0 (1) Last twelve months to September 2017 2017 2018 2023 26
Slide 27: Results 3Q17
RESULTS 3Q17 October 26, 2017