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 — Q1 2019 Earnings Presentation
28 slides from Cemex SAB de CV Cert Part Ord Repr 2 ShsA & 1 ShsB's earnings presentation, Apr 25, 2019
Slide 1: Exhibit 3
Exhibit 3
Slide 2: Forward-looking statements
This presentation contains forward-looking statements within the meaning of the U.S. federal securities laws. CEMEX, S.A.B. de C.V. and its direct and indirect subsidiaries (“CEMEX”) intend, but are not limited to, these forward-looking statements to be covered by the safe harbor provisions for forw
Slide 3: Sales up 1% like-to-like on favorable pricing
Sales on a like-to-like basis increased by 1% during 1Q19 due to favorable l-t-l prices in all regions as well as higher volumes in our three core products in Europe and in ready-mix and aggregates in the U.S. Higher consolidated prices for our three core products on a like-to-like basis, both seque
Slide 4: Free cash flow deficit reflects seasonal working capital
Free cash flow deficit reflects seasonal working-capital requirements which should revert during the rest of the year Free cash flow Millions of U.S. dollars Controlling interest net income
Slide 5: Healthy progress on our A Stronger CEMEX targets
Healthy progress on our “A Stronger CEMEX” targets Initiatives Progress Targets Asset sales Closed/final agr.1US$477M Binding agr.2 US$316M TotalUS$793M US$1.5 – 2.0B by 2020 Operational initiatives / cost reduction US$37M US$230M by 2020 (US$170M of which will be captured in 2019) Total debt plus p
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Slide 7: Mexico: pricing strategy leading to higher prices
Mexico: pricing strategy leading to higher prices for our three core products during 1Q19 Volumes decreased for our three core products during 1Q19 mainly due to lower infrastructure spending, reduced housing activity in anticipation of the new housing policies, and our focus on our pricing strategy
Slide 8: United States: top-line growth despite adverse weather
United States: top-line growth despite adverse weather in several markets Daily volumes for ready-mix and aggregates increased by 3% and 7%, respectively, while domestic gray cement daily volumes decreased by 2% during 1Q19 Quarterly prices for our three products up on a year-over-year basis The res
Slide 9: South, Central America and the Caribbean: Colombia recovery
Operating EBITDA for the region remained flat during the quarter on a like-to-like basis with a margin expansion of 0.5pp; higher pricing, lower maintenance and labor costs offset lower volumes and higher costs related to energy and purchased clinker and cement Quarterly regional cement and aggregat
Slide 10: Europe: top-line growth and EBITDA expansion
Europe: favorable top-line growth and EBITDA expansion driven by improved volumes and prices, and A Stronger CEMEX initiatives Double-digit increase in regional volumes for our three core products during 1Q19 mainly driven by strong domestic demand and a mild winter across the region Higher regional
Slide 11: Asia, Middle East and Africa: higher regional prices
Asia, Middle East and Africa: higher regional prices for our three core products during 1Q19 Decrease in quarterly regional volumes for our three core products mainly due to lower demand and changes in supply-demand dynamics in Egypt as well as adverse weather conditions in Israel Quarterly increase
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Slide 13: Operating EBITDA decreased 3% like-to-like
Operating EBITDA during 1Q19 decreased by 3% on a like-to-like basis mainly due to a higher contribution from our Europe region more than offset by lower contributions from the rest of our regions Cost of sales, as a percentage of net sales, increased by 1.1pp during the first quarter of 2019 mainly
Slide 14: Higher working-capital investment in 1Q19
Higher working-capital investment in 1Q19; should revert in upcoming quarters to reach full-year guidance Average working capital days
Slide 15: Debt maturities extended and notes issued
Extended approximately US$1.1 billion of certain maturities by 3 years Issued €400 million of 3.125% euro-denominated, senior-secured notes due 2026 Called €550 million of 4.375% euro-denominated, senior-secured notes due 2023; of these, €400 million were redeemed on April 15, 2019 and the remaining
Slide 16: Debt maturity profile pro forma
Millions of U.S. dollars 1 Pro forma reflects a) full redemption in April 2019 of €550 million euros 4.375% Senior Secured Notes due March 2023 and b) maturity extension of the 2017 Facilities Agreement, as amended and restated effective as of April 2019, to 2023 and 2024 2 Convertible Subordinated
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Slide 18: 2019 guidance
2019 guidance 1 Including perpetual and convertible securities Consolidated volumes Cement: (1%) to 1% Ready mix: 2% to 4% Aggregates: 2% to 4% Energy cost per ton of cement produced Increase of approximately 0% to 3% Capital expenditures US$850 million Maintenance CapEx US$300 million Strategic Cap
Slide 19: Appendix
Mecnex
Slide 20: Consolidated volumes and prices
Higher consolidated volumes for aggregates while our cement and ready-mix volumes decreased during the quarter on a year-over-year basis During 1Q19, year-over-year regional volumes increased for our three core products in our Europe region and for ready-mix and aggregates in the U.S. Increased cons
Slide 21: Other income statement items during 1Q19
Other income statement items during 1Q19 Other expenses, net, of US$53 million, mainly due to severance payments and impairment of assets Gain on financial instruments of US$8 million, mainly resulting from the derivatives related to GCC shares Foreign-exchange gain of US$4 million resulting mainly
Slide 22: CEMEX consolidated debt maturity profile
Millions of U.S. dollars 1 Convertible Subordinated Notes include only the debt component of US$515 million; total notional amount is about US$521 million Avg. life of debt: 4.1 years CEMEX consolidated debt maturity profile Total debt excluding perpetual notes as of March 31, 2019: US$11,231 millio
Slide 23: Additional information on debt and perpetual notes
Additional information on debt and perpetual notes Currency denomination Interest rate 1 Includes convertible notes and leases, in accordance with International Financial Reporting Standard (IFRS) 2 Calculated in accordance with our contractual obligations under the 2017 Facilities Agreement, as ame
Slide 24: Additional information on debt
Additional information on debt Total debt1 by instrument
Slide 25: 1Q19 volume and price summary: Selected countries
1Q19 volume and price summary: Selected countries
Slide 26: 2019 expected outlook: Selected countries
2019 expected outlook: Selected countries
Slide 27: Definitions
Definitions 3M19 / 3M18 Results for the first three months of the years 2019 and 2018, respectively AMEA Asia, Middle East and Africa Cement When providing cement volume variations, refers to domestic gray cement operations (starting in 2Q10, the base for reported cement volumes changed from total d
Slide 28: Contact information
Contact information Stock Information NYSE (ADS): CX Mexican Stock Exchange: CEMEXCPO Ratio of CEMEXCPO to CX: 10 to 1 Investor Relations In the United States +1 877 7CX NYSE In Mexico +52 81 8888 4292 ir@cemex.com Calendar of Events July 25, 2019 Second quarter 2019 financial results conference cal