Loma Negra Profit Jumps as Financial Costs Ease Amid Stagnant Demand

CEO Sergio Faifman described a challenging quarter where industry demand failed to regain expected momentum, hampered by heavy rainfall in April. While May and June showed trends more consistent with the previous year, overall cement, masonry, and lime volumes dipped 1.4% to 1.19 million tons. The company noted that bulk cement dispatches remained resilient due to industrial and infrastructure projects, while bagged cement sales to retail and self-construction segments continued to lag.

Financial performance reflected a complex mix of rising operational costs and currency shifts. Consolidated Adjusted EBITDA reached Ps. 48.175 billion, a 2.5% decrease year-over-year, as the company faced higher maintenance, packaging, and labor expenses. However, the net debt position improved to Ps. 273.65 billion, bringing the Net Debt to LTM Adjusted EBITDA ratio down to 1.30x. Looking toward the second half of the year, management intends to maintain strict cost controls while waiting for a projected recovery in construction activity.