Loma Negra Compania Industrial Argentina Sa · BCBA:LOMA
Loma Negra Compania Industrial Argentina Sa — Q1 2020 Earnings Presentation
18 slides from Loma Negra Compania Industrial Argentina Sa's earnings presentation, 2020
Slide 1: 1Q20 Results Conference Call
1Q20 Results Conference Call
Slide 2: Disclaimer and Forward Looking Statement
Disclaimer and Forward Looking Statement This presentation may contain forward-looking statements within the meaning of federal securities law that are subject to risks and uncertainties. These statements are only predictions based upon our current expectations and projections about possible or assu
Slide 3: COVID-19: Crisis management
COVID-19: Crisis management Health and Safety first Creation of an executive committee ad-hoc to address the challenges of COVID-19 Suspension or postponement of national and international business trips Home-office for all of our administrative staff In compliance with Government measures Temporary
Slide 4: Loma Negra resilient in difficult times
Loma Negra resilient in difficult times Loma Negra´s business in 1Q20 impacted by macro-economic headwinds coupled with Covid-19 pandemic outbreak As reported results Net revenues - 29.6%YoY to Ps.7.77 billion (US$122 million) Adjusted EBITDA - 17.9%YoY to Ps.2.60 billion (US$42 million) Net majorit
Slide 5: Covid-19 Pandemic on top of adverse economic momentum
Covid-19 Pandemic on top of adverse economic momentum GDP Growth1 (YoY Growth, %) Construction Activity2 (YoY Growth, %) 3,8 2,9 2,0 0,0 -3,4 -1,9 -5,2 -6,4 -7,6 -6,0 -8,7 -9,5 -11,8 -13,5 -1,8 -1,1 -22,1 -2,2 -2,5 -2,2 -6,1 -5,8 -7,0 -46,8 2020e 2021e 2022e 4Q18 1Q19 2Q19 3Q19 4Q19 2016 2017 2018 2
Slide 6: Revenues down 29.6% as sales volumes drop reflecting the adverse economic momentum
Revenues down 29.6% as sales volumes drop reflecting the adverse economic momentum, further impacted by Covid-19 pandemic Revenue Performance: Argentine cement: declined 25.3% YoY. Volumes contraction of 26.9% marginally compensate by positive pricing Paraguay cement: down 13.5% YoY. Sales volumes w
Slide 7: Gross Profit down 25.6% with 164 bps margin expansion
Gross Profit down 25.6% with 164 bps margin expansion Consolidated gross profit down 25.6% YoY, with gross margin expanding 164 bps to 30.5% mainly explained by lower sales volumes reflecting the impact of Covid-19 lockdown amid negative economic momentum Argentine cement gross margin expanded, bene
Slide 8: Adjusted EBITDA down 17.9% YoY with strong margin expansion of 479 bps
Adjusted EBITDA down 17.9% YoY with strong margin expansion of 479 bps Consolidated Adjusted EBITDA down 17.9% YoY in 1Q20 as Covid-19 Pandemic impacted on top of adverse economic momentum Consolidated Adjusted EBITDA Margin expanded 479 bps mainly explained by expansion in Argentina Cement margins
Slide 9: Profit before taxes down 35.2% YoY with Net profit at US$10MM
Profit before taxes down 35.2% YoY with Net profit at US$10MM Net Profit breakdown: Finance Costs, net Adjusted EBITDA decreased 17.9% YoY AR$ Million Total finance loss net of Ps.456 million in 1Q20 compared to a loss of Ps.199 million in 1Q19 -199 -456 Foreign exchange loss at Ps.170 million in 1Q
Slide 10: Manageable debt profile
Manageable debt profile Cash position of Ps.2.2 billion and manageable short term debt maturities of Ps.9.8 billion as of March ‘20 Debt by Currency Positive operating cash flow for 1Q20 of Ps.295 million, impacted by lower US$ profitability and higher working capital needs Eur 34% 4% Capital expend
Slide 11: Looking forward
Looking forward COVID-19 pandemic: Recently, sale of building materials depots were declared essential by the government. We are gauging demand dynamic comings from this channel In parallel, we resume production activities, including strict sanitation protocols Expected recovery will depend on the l
Slide 12: Questions & Answers
Questions & Answers
Slide 13: Exhibit: Summary Financial Statements
Exhibit: Summary Financial Statements
Slide 14: Adjusted EBITDA Reconciliation & Margin
Adjusted EBITDA Reconciliation & Margin Table 4: Adjusted EBITDA Reconciliation & Margin (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended Three-months ended March 31, March 31, 2020 2019 % C hg. 2020 2019 % C hg. Adjusted EBITDA reconciliation: Net profit 881 1,583
Slide 15: Balance Sheet
Balance Sheet Table 8: Condensed Interim Consolidated Statements of Financial Position as of March 31, 2020 and December 31, 2019 (amounts expressed in millions of pesos, unless otherwise noted) As of March 31, As of December 31, 2020 2019 ASSETS SHAREHOLDERS' EQUITY C apital stock and other capital
Slide 16: Income Statement
Income Statement Three-months ended Three-months ended Table 9: Condensed Interim Consolidated Statements of Profit or Loss and March 31, March 31, (amounts expressed in millions of pesos, unless otherwise noted) % % 2020 2019 2020 2019 C hange C hange Net revenue 7,765 11,034 -29.6% 7,765 11,034 -2
Slide 17: Statement of Cash Flows
Statement of Cash Flows Three-months ended March 31, Table 10: Condensed Interim Consolidated Statement of Cash Flows for the Three-months ended March 31, 2020 and 2019 2020 2019 (amounts expressed in millions of pesos, unless otherwise noted) CASH FLOWS FROM OPERATING ACTIVITIES Net profit for the
Slide 18: IR Contact
IR Contact Marcos I. Gradin Chief Financial Officer and Investor Relations Gaston Pinnel Investor Relations Manager +54-11-4319-3050 investorrelations@lomanegra.com
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