UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 or 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
For the month of February, 2017
Commission File Number: 001-14946
CEMEX, S.A.B. de C.V.
(Translation of Registrant’s name into English)
Avenida Ricardo Margáin Zozaya #325, Colonia Valle del Campestre
San Pedro Garza García, Nuevo León, México 66265
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.
Form 20-F ☒ Form 40-F ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ☐
Contents
| 1. |
Press release, dated February 9, 2017, announcing fourth quarter 2016 results for CEMEX Latam Holdings, S.A., an indirect subsidiary of CEMEX, S.A.B. de C.V. (NYSE:CX). | |
| 2. |
Fourth quarter 2016 results for CEMEX Latam Holdings, S.A., an indirect subsidiary of CEMEX, S.A.B. de C.V. (NYSE:CX). | |
| 3. |
Presentation regarding fourth quarter 2016 results for CEMEX Latam Holdings, S.A., an indirect subsidiary of CEMEX, S.A.B. de C.V. (NYSE:CX). | |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, CEMEX, S.A.B. de C.V. has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
|
CEMEX, S.A.B. de C.V. | ||||||||
| (Registrant) | ||||||||
| Date: | February 9, 2017 |
By: | /s/ Rafael Garza | |||||
| Name: Rafael Garza | ||||||||
| Title: Chief Comptroller | ||||||||
EXHIBIT INDEX
| EXHIBIT NO. |
DESCRIPTION | |
| 1. |
Press release, dated February 9, 2017, announcing fourth quarter 2016 results for CEMEX Latam Holdings, S.A., an indirect subsidiary of CEMEX, S.A.B. de C.V. (NYSE:CX). | |
| 2. |
Fourth quarter 2016 results for CEMEX Latam Holdings, S.A., an indirect subsidiary of CEMEX, S.A.B. de C.V. (NYSE:CX). | |
| 3. |
Presentation regarding fourth quarter 2016 results for CEMEX Latam Holdings, S.A., an indirect subsidiary of CEMEX, S.A.B. de C.V. (NYSE:CX). | |
Exhibit 1
| Media Relations Paula Andrea Escobar +57 (1) 603-9079 paulaandrea.escobar@cemex.com |
Investor Relations Jesús Ortiz +57 (1) 603-9051 jesus.ortizd@cemex.com |
CEMEX LATAM HOLDINGS REPORTS
FOURTH QUARTER 2016 RESULTS
| • | Controlling interest net income during 2016 increased by 46% reaching US$140 million, compared to that of 2015 |
| • | We reached the lowest level of working capital investment in CLH’s history, with minus 5 average working capital days for the full year, and minus 14 days for the fourth quarter |
| • | The full year increase in our consolidated EBITDA margin is attributed mainly to the positive performance in Panama, Nicaragua, and Guatemala, more than offsetting margin declines in Colombia and Costa Rica |
BOGOTA, COLOMBIA. FEBRUARY 9, 2017 – CEMEX Latam Holdings, S.A. (“CLH”) (BVC: CLH), announced today that consolidated net sales reached US$1,315 million in 2016 and US$303 million during the fourth quarter of 2016. Consolidated net sales decreased by 8% during 2016, compared to those of 2015. This decline is explained mainly by lower cement volumes from our operations in Colombia, Panama and Costa Rica, and as a result of foreign exchange fluctuations. Adjusting for foreign-exchange fluctuations consolidated net sales in 2016 decreased by 2% compared to those of 2015.
During the fourth quarter of 2016, consolidated net sales decreased by 7% on a year-over-year basis. This decline is mainly explained by lower cement volumes and prices in Colombia and Costa Rica.
Operating EBITDA during the full year and the fourth quarter decreased by 6% and 19%, respectively, compared to those of 2015. Adjusting for foreign-exchange fluctuations operating EBITDA in 2016 remained flat versus that of 2015.
During the full year, our consolidated domestic gray cement, ready-mix and aggregates volumes declined by 1%, 9% and 14%, respectively, compared to those of 2015. In the fourth quarter of 2016 our ready-mix and aggregates volumes decreased by 6% and 10%, respectively, while our consolidated domestic gray cement volumes remained flat on year-over-year basis.
Jaime Muguiro, CEO of CLH, said, “Despite challenging demand dynamics in markets like Colombia, and Costa Rica, we have delivered strong results. On a year over year basis, adjusted by foreign-exchange fluctuations, our consolidated net sales during the year decreased by only 2% while our EBITDA remained flat, resulting in a margin expansion of 0.7 percentage points.”
CLH’s Financial and Operational Highlights
| • | Our Consolidated EBITDA margin increased by 0.7pp during the full year mainly due to the positive performance in Panama, Nicaragua and Guatemala, more than offsetting margin declines in Colombia and Costa Rica . |
1
| • | Adjusting for the effect of foreign-exchange fluctuations our consolidated EBITDA remained flat during the year, while our consolidated net sales decreased 2% compared to those of 2015. |
| • | In Panama, during the fourth quarter and the full year our EBITDA margin increased by 2.9pp and 4.1pp, respectively, compared to those of 2015. |
| • | During the year and fourth quarter, our average working capital investment continued being negative. |
| • | Free cash flow after total capital expenditures reached US$24 million and US$97 million during the fourth quarter and for the full year, respectively. Strategic capital expenditures were US$32 million in the fourth quarter and US$140 million in 2016, and were mainly used for our capacity expansion project in Colombia. |
Jaime Muguiro added, “We have consistently improved our Working Capital management, reaching the lowest average working capital investment in our history in 2016. Last year alone we were able to reduce our annual average working capital needs by US$67 million compared to those of 2015, and by US$120 million compared to average working capital invested in 2014. This reduction, together with lower financial expenses, cash taxes, and other expenses, allowed us to maintain a strong level of Free Cash Flow generation, despite the negative effect from market dynamics in Colombia and Costa Rica, and the appreciation of the US dollar”
Consolidated Corporate Results
During the full year, controlling interest net income reached US$140 million increasing 46% compared to that of 2015. During the fourth quarter 2016 we registered a controlling interest net loss of US$4 million, compared to a net loss of US$22 million in the same period in 2015
Net debt was reduced during the fourth quarter of 2016 to US$938 million.
Geographical Markets Fourth Quarter 2016 Highlights
Operating EBITDA in Colombia decreased by 37% to US$38 million versus US$60 million in the fourth quarter of 2015, with a decline of 12% in net sales reaching US$153 million.
In Panama, operating EBITDA remained flat in US$26 million during the quarter, while EBITDA margin grew by 2.9pp on a year-over-year basis. Net sales reached US$57 million in the fourth quarter of 2016, a decrease of 6% compared to those in the same period of 2015.
In Costa Rica, operating EBITDA reached US$12 million during the quarter, decreasing by 19% on a year-over-year basis. Net sales declined by 12% to US$32 million, compared to those of the fourth quarter of 2015.
In the Rest of CLH operating EBITDA increased by 27% to US$20 million during the quarter, while EBITDA margin grew by 3.8pp on a year-over-year basis. Net sales reached US$66 million in the fourth quarter of 2016, an increase of 10% compared to those of the same period in 2015.
CLH is a regional leader in the building solutions industry that provides high-quality products and reliable services to customers and communities in Colombia, Panama, Costa Rica, Nicaragua, El Salvador, Guatemala, and Brazil. CLH’s mission is to create sustainable value by providing industry-leading products and solutions to satisfy the construction needs of our customers in the markets where we operate..
###
This press release contains forward-looking statements and information that are necessarily subject to risks, uncertainties and assumptions. Many factors could cause the actual results, performance or achievements of CLH to be materially different from those expressed or implied in this release, including, among others, changes in general economic, political, governmental and business conditions globally and in the countries in which CLH does business, changes in interest rates, changes in inflation rates, changes in exchange rates, the level of
2
construction generally, changes in cement demand and prices, changes in raw material and energy prices, changes in business strategy, changes derived from events affecting CEMEX, S.A.B de C.V. and subsidiaries (“CEMEX”) and various other factors. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described herein. CLH assumes no obligation to update or correct the information contained in this press release.
Operating EBITDA is defined as operating earnings before other expenses, net plus depreciation and operating amortization. Free Cash Flow is defined as operating EBITDA minus net interest expense, maintenance and expansion capital expenditures, change in working capital, taxes paid, and other cash items (net other expenses less proceeds from the disposal of obsolete and/or substantially depleted operating fixed assets that are no longer in operation). All of the above items are prepared under International Financial Reporting Standards as issued by the International Accounting Standards Board. Operating EBITDA and Free Cash Flow (as defined above) are presented herein because CLH believes that they are widely accepted as financial indicators of CLH’s ability to internally fund capital expenditures and service or incur debt. Operating EBITDA and Free Cash Flow should not be considered as indicators of CLH’s financial performance, as alternatives to cash flow, as measures of liquidity or as being comparable to other similarly titled measures of other companies.
3
Exhibit 2
Exhibit 2
2016
FOURTH QUARTER RESULTS
? Stock Listing Information
Colombian Stock Exchange S.A. Ticker: CLH
? Investor Relations
Jesús Ortiz de la Fuente +57 (1) 603-9051
E-mail: jesus.ortizd@cemex.com
OPERATING AND FINANCIAL HIGHLIGHTS
January—December Fourth Quarter
2016 2015 % var 2016 2015 % var
Consolidated cement volume 7,525 7,385 2% 1,794 1,828 (2%) Consolidated domestic gray cement 6,569 6,636 (1%) 1,593 1,601 (0%) Consolidated ready-mix volume 3,079 3,395 (9%) 724 767 (6%) Consolidated aggregates volume 7,264 8,447 (14%) 1,717 1,899 (10%) Net sales 1,315 1,427 (8%) 303 325 (7%) Gross profit 638 677 (6%) 142 156 (9%) as % of net sales 48.5% 47.5% 1.0pp 47.0% 48.0% (1.0pp) Operating earnings before other expenses, net 342 365 (6%) 67 83 (20%) as % of net sales 26.0% 25.6% 0.4pp 22.1% 25.6% (3.5pp) Controlling interest net income (loss) 140 95 46% -4 -22 83% Operating EBITDA 424 450 (6%) 84 103 (19%) as % of net sales 32.2% 31.5% 0.7pp 27.7% 31.8% (4.1pp) Free cash flow after maintenance capital expenditures 237 249 (5%) 56 61 N/A Free cash flow 97 105 (8%) 24 27 (9%) Net debt 938 1,034 (9%) 938 1,034 (9%) Total debt 983 1,088 (10%) 983 1,088 (10%) Earnings per share 0.25 0.17 46% (0.01) (0.04) 82% Shares outstanding at end of period 556 556 0% 556 556 0% Employees 4,707 4,813 (2%) 4,707 4,813 (2%)
Cement and aggregates volumes in thousands of metric tons. Ready-mix volumes in thousands of cubic meters. In millions of US dollars, except volumes, percentages, employees, and per-share amounts.
Shares outstanding are presented in millions.
Consolidated net sales during 2016 declined by 8% compared to those The 19% decline in operating EBITDA in the fourth quarter, on a year-of 2015. This decline is explained mainly by lower cement volumes over-year basis, is mainly explained by lower cement volumes and from our operations in Colombia, Panama and Costa Rica, and as a prices in Colombia and Costa Rica, higher maintenance activities in result of foreign exchange fluctuations. Colombia, as well as an extraordinary charge of labor costs related to our cement capacity expansion project in Colombia.
For the fourth quarter of 2016 consolidated net sales decreased by 7%, compared to those of the same period in 2015. Operating EBITDA margin during 2016 increased by 0.7pp, compared to 2015. During the fourth quarter of 2016 operating EBITDA margin Cost of sales as a percentage of net sales during the full year declined by 4.1pp compared to that of the same period of 2015. decreased by 1.1pp from 52.5% to 51.5%, on a year-over-year basis.
Controlling interest net income during 2016 reached US$140 million, Operating expenses as a percentage of net sales during 2016 year increasing 46% compared to that of 2015. During the fourth quarter were 22.5%, an increase of 0.6pp compared to 2015 2016 we registered a Controlling interest net loss of US$4 million, Operating EBITDA during the year declined by 6% on a year-over-year compared to a net loss of US$22 million in the same period in 2015 basis. This decrease is mainly explained by lower cement volumes and Total debt during the fourth quarter reached US$983 million. prices in Colombia and Costa Rica, and as a result of foreign exchange fluctuations.
2016 Fourth Quarter Results Page 2
OPERATING RESULTS
Colombia
January—December Fourth Quarter
2016 2015 % var 2016 2015 % var
Net sales 665 725 (8%) 153 173 (12%) Operating EBITDA 214 248 (14%) 38 60 (37%) Operating EBITDA margin 32.1% 34.2% (2.1pp) 24.6% 34.4% (9.8pp)
In millions of US dollars, except percentages.
Domestic gray cement Ready-Mix Aggregates January—January—January—
December Fourth Quarter December Fourth Quarter December Fourth Quarter
Volume 0% (3%) (8%) (6%) (13%) (7%) Price (USD) (8%) (14%) (5%) 3% 1% 5% Price (local currency) 1% (14%) 4% 3% 11% 5%
Year-over-year percentage variation.
In Colombia, during the fourth quarter our domestic gray cement, ready-mix and aggregates volumes decreased by 3%, 6%, and 7%, respectively, compared to those of the fourth quarter in 2015. For the full year, our domestic gray cement volumes remained flat, while our ready-mix and aggregates volumes decreased by 8% and 13%, respectively, compared to those of the same period in 2015.
Macroeconomic challenges, restrictions in government spending, and infrastructure projects delays, negatively impacted national cement consumption during 2016 and particularly in the second half of the year. Our cement market position during the quarter improved versus the fourth quarter of last year and remained stable sequentially. Quarterly cement prices on a sequential basis were affected by difficult competitive dynamics in a soft demand market environment.
Panama
January—December Fourth Quarter
2016 2015 % var 2016 2015 % var
Net sales 256 285 (10%) 57 61 (6%) Operating EBITDA 116 117 (1%) 26 26 (0%) Operating EBITDA margin 45.3% 41.2% 4.1pp 45.3% 42.4% 2.9pp
In millions of US dollars, except percentages.
Domestic gray cement Ready-Mix Aggregates January—January—January—
December Fourth Quarter December Fourth Quarter December Fourth Quarter
Volume (14%) (5%) (3%) 13% (5%) 7% Price (USD) 2% (0%) (4%) (3%) (3%) (6%) Price (local currency) 2% (0%) (4%) (3%) (3%) (6%)
Year-over-year percentage variation.
In Panama during the fourth quarter our domestic gray cement volumes decreased by 5%, while our ready-mix and aggregates volumes increased by 13% and 7%, respectively, compared to those of the fourth quarter in 2015. For the full year, our domestic gray cement, ready-mix and aggregates volumes decreased by 14%, 3%, and 5%, respectively, compared to those of 2015.
Our yearly dispatches to the Panama Canal expansion project fell from 7.5% in 2015, to 1.2% of our total cement volumes in 2016. Volumes related to the Panama Canal expansion project during 2016 were dispatched mainly in the first half of the year. We had no dispatches to this project in the last quarter of last year. Adjusting for the volumes sold to the canal expansion project, on a year over year basis, our volumes in the fourth quarter were almost flat, while for the full year, they declined 8%.
2016 Fourth Quarter Results Page 3
OPERATING RESULTS
Costa Rica
January—December Fourth Quarter
2016 2015 % var 2016 2015 % var
Net sales 151 167 (9%) 32 36 (12%) Operating EBITDA 61 69 (12%) 12 15 (19%) Operating EBITDA margin 40.1% 41.3% (1.2pp) 37.8% 41.5% (3.7pp)
In millions of US dollars, except percentages.
Domestic gray cement Ready-Mix Aggregates January—January—January—
December Fourth Quarter December Fourth Quarter December Fourth Quarter
Volume (12%) (8%) (9%) (20%) 9% (5%) Price (USD) (5%) (7%) 0% (12%) 2% (7%) Price (local currency) (3%) (4%) 2% (9%) 4% (3%)
Year-over-year percentage variation.
In Costa Rica, during the fourth quarter our domestic gray cement, ready-mix and aggregates volumes decreased by 8%, 20% and 5%, respectively, compared to those of the fourth quarter in 2015. For the full year 2016, our domestic gray cement and ready-mix volumes declined by 12% and 9%, respectively, while our aggregates volumes increased by 9%, compared to those of 2015.
The decline in cement and ready-mix volumes in Costa Rica relates to a lack of new public works, and the tough comparison base related to high execution of infrastructure projects in 2015. Our cement dispatches to infrastructure projects decreased by 27% in 2016 on a year-over-year basis.
Rest of CLH
January—December Fourth Quarter
2016 2015 % var 2016 2015 % var
Net sales 263 269 (2%) 66 60 10% Operating EBITDA 84 73 16% 20 16 27% Operating EBITDA margin 32.0% 27.1% 4.9pp 29.7% 25.9% 3.8pp
In millions of US dollars, except percentages.
Domestic gray cement Ready-Mix Aggregates January—January—January—
December Fourth Quarter December Fourth Quarter December Fourth Quarter
Volume 10% 13% (37%) (32%) (66%) (69%) Price (USD) (2%) 1% (1%) 0% (10%) (2%) Price (local currency) (0%) 0% 0% 2% (6%) 2%
Year-over-year percentage variation.
In the Rest of CLH region, which includes our operations in Nicaragua, Guatemala, El Salvador and Brazil, during the fourth quarter of 2016 our domestic gray cement volumes increased by 13%, while our ready-mix and aggregates volumes declined by 32% and 69%, respectively, compared to those of the fourth quarter of 2015. For the full year 2016, our domestic gray cement volumes increased by 10%, while our ready-mix and aggregates volumes decreased by 37% and 66%, respectively, compared to those of 2015.
Cement volume growth both the fourth quarter and full year reflects positive demand dynamics in the industrial and commercial sector in Guatemala, as well as the infrastructure sector in Nicaragua.
2016 Fourth Quarter Results Page 4
.
OPERATING EBITDA, FREE CASH FLOW AND DEBT RELATED INFORMATION
Operating EBITDA and free cash flow
January—December Fourth Quarter
2016 2015 % var 2016 2015 % var Operating earnings before other expenses, net 343 365 (6%) 67 84 (20%)
+ Depreciation and operating amortization 81 85 17 20
Operating EBITDA 424 450 (6%) 84 104 (19%)
- Net financial expense 64 74 15 16—Capital expenditures for maintenance 56 52 24 26
- Change in working Capital (38) (44) (21) (20)
- Taxes paid 100 107 15 20
- Other cash items (Net) 5 12 (5) 1
Free cash flow after maintenance capital exp 237 249 (5%) 56 61 (8%)
- Strategic Capital expenditures 140 144 32 34
Free cash flow 97 105 (8%) 24 27 (9%)
In millions of US dollars, except percentages.
Information on Debt
Third
Fourth Quarter Quarter Fourth Quarter 2016 2015 % var 2016 2016 2015 Total debt 1, 2 983 1,088 1,016 Currency denomination
Short term 16% 24% 27% U.S. dollar 97% 99% Long term 84% 76% 73% Colombian peso 3% 1% Cash and cash equivalents 45 54 (17%) 47 Interest rate Net debt 938 1,034 (9%) 969 Fixed 75% 77% Variable 25% 23%
In millions of US dollars, except percentages.
1 Includes capital leases, in accordance with International Financial Reporting Standards (IFRS).
2 Represents the consolidated balances of CLH and subsidiaries.
2016 Fourth Quarter Results Page 5
OPERATING RESULTS
Income statement & balance sheet
CEMEX Latam Holdings, S.A. and Subsidiaries
in thousands of U.S. Dollars, except per share amounts
January—December Fourth Quarter
INCOME STATEMENT 2016 2015 % var 2016 2015 % var
Net sales 1,315,326 1,427,058 (8%) 303,173 324,978 (7%) Cost of sales (676,860) (749,646) 10% (160,818) (168,881) 5%
Gross profit 638,466 677,412 (6%) 142,355 156,097 (9%)
Operating expenses (296,000) (312,594) 5% (75,448) (72,745) (4%)
Operating earnings before other expenses, net 342,466 364,818 (6%) 66,907 83,352 (20%)
Other expenses, net (30,219) (83,360) 64% (27,512) (70,453) 61%
Operating earnings 312,247 281,458 11% 39,395 12,899 205%
Financial expenses (63,701) (73,748) 14% (14,372) (15,476) 7% Other income (expenses), net (484) (19,189) 97% (12,927) (1,267) (920%)
Net income before income taxes 248,062 188,521 32% 12,096 (3,844) N/A
Income tax (107,793) (92,469) (17%) (15,746) (17,643) 11%
Consolidated net income 140,269 96,052 46% (3,650) (21,487) 83%
Non-controlling Interest Net Income (500) (561) 11% 18 (146) N/A
Controlling Interest Net Income 139,769 95,491 46% (3,633) (21,633) 83%
0 0
Operating EBITDA 423,650 449,772 (6%) 84,067 103,489 (19%) Earnings per share 0.25 0.17 46% (0.01) (0.04) 82%
as of December 31
BALANCE SHEET 2016 2015 % var Total Assets 3,294,646 3,196,930 3%
Cash and Temporary Investments 44,907 53,635 (16%) Trade Accounts Receivables 100,344 91,568 10% Other Receivables 33,278 41,611 (20%) Inventories 71,595 86,134 (17%) Other Current Assets 11,247 14,421 (22%) Current Assets 261,371 287,369 (9%) Fixed Assets 1,236,150 1,093,359 13% Other Assets 1,797,125 1,816,202 (1%)
Total Liabilities 1,820,735 1,880,115 (3%)
Current Liabilities 457,863 524,245 (13%) Long-Term Liabilities 1,347,146 1,347,340 (0%) Other Liabilities 15,726 8,530 84%
Consolidated Stockholders’ Equity 1,473,911 1,316,815 12%
Non-controlling Interest 4,813 5,329 (10%) Stockholders’ Equity Attributable to Controlling Interest 1,469,098 1,311,486 12%
2016 Fourth Quarter Results Page 6
OPERATING RESULTS
Income statement & balance sheet
CEMEX Latam Holdings, S.A. and Subsidiaries
in millions of Colombian Pesos in nominal terms, except per share amounts
January—December Fourth Quarter
INCOME STATEMENT 2016 2015 % var 2016 2015 % var
Net sales 3,998,710 3,955,161 1% 923,009 991,012 (7%) Cost of sales (2,057,715) (2,077,681) 1% (489,610) (514,996) 5%
Gross profit 1,940,995 1,877,480 3% 433,399 476,016 (9%)
Operating expenses (899,866) (866,371) (4%) (229,700) (221,829) (4%)
Operating earnings before other expenses, net 1,041,129 1,011,109 3% 203,699 254,187 (20%)
Other expenses, net (91,870) (231,036) 60% (83,763) (214,844) 61%
Operating earnings 949,259 780,073 22% 119,936 39,343 205%
Financial expenses (193,659) (204,397) 5% (43,751) (47,195) 7% Other income (expenses), net (1,470) (53,183) 97% (39,358) (3,860) (920%)
Net income before income taxes 754,130 522,493 44% 36,827 (11,712) N/A
Income tax (327,699) (256,281) (28%) (47,938) (53,801) 11%
Consolidated net income 426,431 266,212 60% (11,111) (65,516) 83%
Non-controlling Interest Net Income (1,522) (1,555) 2% 50 (446) N/A
Controlling Interest Net Income 424,909 264,657 61% (11,061) (65,959) 83%
Operating EBITDA 1,287,934 1,246,566 3% 255,941 315,587 (19%) Earnings per share 766.44 478.65 60% (19.97) (117.80) 83%
as of December 31
BALANCE SHEET 2016 2015 % var Total Assets 9,886,277 10,068,638 (2%)
Cash and Temporary Investments 134,753 168,921 (20%) Trade Accounts Receivables 301,103 288,391 4% Other Receivables 99,859 131,054 (24%) Inventories 214,834 271,276 (21%) Other Current Assets 33,750 45,420 (26%) Current Assets 784,299 905,062 (13%) Fixed Assets 3,709,327 3,443,503 8% Other Assets 5,392,651 5,720,073 (6%)
Total Liabilities 5,463,499 5,921,365 (8%)
Current Liabilities 1,373,913 1,651,092 (17%) Long-Term Liabilities 4,042,397 4,243,408 (5%) Other Liabilities 47,189 26,865 76%
Consolidated Stockholders’ Equity 4,422,778 4,147,273 7%
Non-controlling Interest 14,441 16,786 (14%) Stockholders’ Equity Attributable to Controlling Interest 4,408,337 4,130,487 7%
2016 Fourth Quarter Results Page 7
2016 Fourth Quarter Results Page 8
OPERATING RESULTS
Operating Summary per Country
In thousands of U.S. dollars
Operating EBITDA margin as a percentage of net sales
2016 2015 % var 2016 2015 % var NET SALES Colombia 665,154 724,709 (8%) 153,369 173,386 (12%) Panama 256,301 284,527 (10%) 56,692 60,611 (6%) Costa Rica 151,370 166,931 (9%) 31,835 35,972 (12%) Rest of CLH 263,386 268,542 (2%) 66,225 59,993 10% Others and intercompany eliminations (20,885) (17,651) (18%) (4,948) (4,984) 1% TOTAL 1,315,326 1,427,058 (8%) 303,173 324,978 (7%) GROSS PROFIT Colombia 305,042 345,343 (12%) 62,170 82,240 (24%) Panama 129,591 131,677 (2%) 29,249 28,974 1% Costa Rica 77,895 87,483 (11%) 15,839 18,716 (15%) Rest of CLH 106,493 96,552 10% 25,958 21,278 22% Others and intercompany eliminations 19,445 16,357 19% 9,139 4,889 87% TOTAL 638,466 677,412 (6%) 142,355 156,097 (9%) Colombia 187,468 222,069 (16%) 30,981 53,513 (42%) Panama 98,090 98,763 (1%) 21,256 21,214 0% Costa Rica 54,446 62,652 (13%) 10,520 13,392 (21%) Rest of CLH 78,892 67,653 17% 18,322 14,084 30% Others and intercompany eliminations (76,430) (86,319) 11% (14,172) (18,851) 25% TOTAL 342,466 364,818 (6%) 66,907 83,352 (20%) OPERATING EBITDA Colombia 213,836 248,153 (14%) 37,782 59,651 (37%) Panama 116,053 117,241 (1%) 25,689 25,715 (0%) Costa Rica 60,646 68,983 (12%) 12,031 14,917 (19%) Rest of CLH 84,398 72,777 16% 19,653 15,530 27% Others and intercompany eliminations (51,283) (57,382) 11% (11,088) (12,324) 10% TOTAL 423,650 449,772 (6%) 84,067 103,489 (19%) OPERATING EBITDA MARGIN Colombia 32.1% 34.2% 24.6% 34.4% Panama 45.3% 41.2% 45.3% 42.4% Costa Rica 40.1% 41.3% 37.8% 41.5% Rest of CLH 32.0% 27.1% 29.7% 25.9% TOTAL 32.2% 31.5% 27.7% 31.8% January—December Fourth Quarter OPERATING EARNINGS BEFORE OTHER EXPENSES, NET
2016 Fourth Quarter Results Page 9
OPERATING RESULTS
Volume Summary
Consolidated volume summary
Cement and aggregates in thousands of metric tons
Ready mix in thousands of cubic meters
2016 2015 % var 2016 2015 % var Total cement volume 1 7,525 7,385 2% 1,794 1,828 (2%) Total domestic gray cement volume 6,569 6,636 (1%) 1,593 1,601 (0%) Total ready-mix volume 3,079 3,395 (9%) 724 767 (6%) Total aggregates volume 7,264 8,447 (14%) 1,717 1,899 (10%) January—December Fourth Quarter 1 Consolidated cement volume includes domestic and export volume of gray cement, white cement, special cement, mortar and clinker.
Per-country volume summary
January—December Fourth Quarter Fourth Quarter 2016 2016 vs. 2015 2016 vs. 2015 vs. Third Quarter 2016 DOMESTIC GRAY CEMENT Colombia 0% (3%) (2%) Panama (14%) (5%) (21%) Costa Rica (12%) (8%) (17%) Rest of CLH 10% 13% 4% READY-MIX Colombia (8%) (6%) (9%) Panama (3%) 13% (7%) Costa Rica (9%) (20%) (23%) Rest of CLH (37%) (32%) 2% AGGREGATES Colombia (13%) (7%) (7%) Panama (5%) 7% (7%) Costa Rica 9% (5%) (23%) Rest of CLH (66%) (69%) (2%)
2016 Fourth Quarter Results Page 10
OPERATING RESULTS
Price Summary
Variation in U.S. dollars
January—December Fourth Quarter Fourth Quarter 2016 2016 vs. 2015 2016 vs. 2015 vs. Third Quarter 2016 DOMESTIC GRAY CEMENT Colombia (8%) (14%) (12%) Panama 2% (0%) (1%) Costa Rica (5%) (7%) (2%) Rest of CLH (2%) 1% (2%) READY-MIX Colombia (5%) 3% (3%) Panama (4%) (3%) (4%) Costa Rica 0% (12%) (3%) Rest of CLH (1%) 0% 2% AGGREGATES Colombia 1% 5% (5%) Panama (3%) (6%) (4%) Costa Rica 2% (7%) (25%) Rest of CLH (10%) (2%) 9% For Rest of CLH, volume-weighted average prices.
Variation in local currency
January—December Fourth Quarter Fourth Quarter 2016 2016 vs. 2015 2016 vs. 2015 vs. Third Quarter 2016 DOMESTIC GRAY CEMENT Colombia 1% (14%) (9%) Panama 2% (0%) (1%) Costa Rica (3%) (4%) (2%) Rest of CLH (0%) 0% (1%) READY-MIX Colombia 4% 3% (1%) Panama (4%) (3%) (4%) Costa Rica 2% (9%) (3%) Rest of CLH 0% 2% 2% AGGREGATES Colombia 11% 5% (2%) Panama (3%) (6%) (4%) Costa Rica 4% (3%) (25%) Rest of CLH (6%) 2% 6% For Rest of CLH, volume-weighted average prices.
2016 Fourth Quarter Results Page 11
OTHER ACTIVITIES AND INFORMATION
Information on audits related to Maceo cement project
During the fourth quarter of 2016, in connection with the internal audit related to Maceo’s project, and considering the findings and the legal opinions available, as well as the irregularities in the legal processes that have not permitted CEMEX Colombia to be the rightful owner of the several assets related to the Maceo cement project, CLH determined the following:
First, there is low probability of recover resources delivered under different memorandums of understanding for the purchase of the assets related to the project for an amount in Colombian pesos equivalent to approximately US$14 million, which were recognized as part of investments in progress. These payments have been considered as contingent assets and therefore were reduced to zero, recognizing an impairment loss for such amount against other expenses, net
Nonetheless, on December 19, 2016, CEMEX Colombia filed a claim in the civil courts with the aim of securing that all property rights related to the additional land would be effectively transferred to CEMEX Colombia.
Second, certain purchases of equipment installed in the plant were considered exempt for VAT purposes under the benefits of the free trade zone, however, as those assets were actually installed outside of the free trade zone’s area, they lack of such benefits, therefore, CEMEX increased investments in progress against VAT accounts payable for approximately US$9 million; and
Third the cancellation of the balance payable to CI Calizas in connection with the acquisition of the assets for approximately US$9 million against a reduction in investments in progress.
All these amounts considering the Colombian peso to U.S. dollar exchange rate as of December 31, 2016.
2016 Fourth Quarter Results Page 12
DEFINITIONS OF TERMS AND DISCLOSURES
Methodology for translation and presentation of results
Under IFRS, CLH reports its consolidated results in its functional currency, which is the US Dollar, by translating the financial statements of foreign subsidiaries using the corresponding exchange rate at the reporting date for the balance sheet and the corresponding exchange rates at the end of each month for the income statement.
For the reader’s convenience, Colombian peso amounts for the consolidated entity are calculated by converting the US dollar amounts using the closing COP/US$ exchange rate at the reporting date for balance sheet purposes, and the average COP/US$ exchange rate for the corresponding period for income statement purposes. The exchange rates used to convert: (i) the balance sheet as of December 31, 2016 and December 31, 2015 was $3,000.71 and $3,149.47 Colombian pesos per US dollar, respectively, and (ii) the consolidated results for the fourth quarter of 2016 and for the fourth quarter of 2015 were $3,044.49 and $3,049.47 Colombian pesos per US dollar, respectively.
Per-country/region selected financial information of the income statement is presented before corporate charges and royalties which are included under “other and intercompany eliminations.”
Consolidated financial information
When reference is made to consolidated financial information means the financial information of CLH together with its consolidated subsidiaries.
Presentation of financial and operating information
Individual information is provided for Colombia, Panama and Costa Rica.
Countries in Rest of CLH include Nicaragua, Guatemala, El Salvador and Brazil.
Exchange rates
2016 closing 2015 closing 2016 average 2015 average 2016 average 2015 average Colombian peso 3,000.71 3,149.47 3,040.09 2,771.55 3,044.49 3,049.47 Panama balboa 1.00 1.00 1.00 1.00 1.00 1.00 Costa Rica colon 561.10 544.87 552.06 540.97 559.89 543.81 Euro 1.0519 1.0864 1.1000 1.1016 1.0700 0.8071 Amounts provided in units of local currency per US dollar. January—December January—December Fourth Quarter
2016 Fourth Quarter Results Page 13
DEFINITIONS OF TERMS AND DISCLOSURES
Definition of terms
Free cash flow equals operating EBITDA minus net interest expense, maintenance and strategic capital expenditures, change in working capital, taxes paid, and other cash items (net other expenses less proceeds from the disposal of obsolete and/or substantially depleted operating fixed assets that are no longer in operation).
Maintenance capital expenditures investments incurred for the purpose of ensuring CLH’s operational continuity. These include capital expenditures on projects required to replace obsolete assets or maintain current operational levels, and mandatory capital expenditures, which are projects required to comply with governmental regulations or internal policies.
Net debt equals total debt minus cash and cash equivalents.
Operating EBITDA equals operating earnings before other expenses, net, plus depreciation and operating amortization.
pp equals percentage points.
Strategic capital expenditures investments incurred with the purpose of increasing CLH’s profitability. These include capital expenditures on projects designed to increase profitability by expanding capacity, and margin improvement capital expenditures, which are projects designed to increase profitability by reducing costs.
Working capital equals operating accounts receivable (including other current assets received as payment in kind) plus historical inventories minus operating payables.
Exhibit 3
|
|
Exhibit 3
RESULTS 4Q16
February 9 , 2017
|
|
|| 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 other similar words. These forward- looking statements reflect CEMEX Latam Holdings, S.A.’s (“CLH”) current expectations and projections about future events based on CLH’s knowledge of present facts and circumstances and assumptions about future events. These statements necessarily involve risks and uncertainties that could cause actual results to differ materially from CLH’s expectations. Some of the risks, uncertainties and other important factors that could cause results to differ, or that otherwise could have an impact on CLH or its subsidiaries, include, but are not limited to, the cyclical activity of the construction sector; CLH’s exposure to other sectors that impact CLH’s business, such as the energy sector; competition; general political, economic and business conditions in the markets in which CLH operates; the regulatory environment, including environmental, tax, antitrust and acquisition-related rules and regulations; CLH’s ability to satisfy its debt obligations and CEMEX, S.A.B. de C.V.’s (“CEMEX”) ability to satisfy CEMEX’s obligations under its material debt agreements, the indentures that govern CEMEX’s senior secured notes and CEMEX’s other debt instruments; expected refinancing of
CEMEX’s existing indebtedness; the impact of CEMEX’s below investment grade debt rating on CLH’s and CEMEX’s cost of capital; CEMEX’s ability to consummate asset sales and fully integrate newly acquired businesses; achieve cost-savings from CLH’s cost-reduction initiatives and implement
CLH’s pricing initiatives for CLH’s products; the increasing reliance on information technology infrastructure for CLH’s invoicing, procurement, financial statements and other processes that can adversely affect operations in the event that the infrastructure does not work as intended, experiences technical difficulties or is subjected to cyber-attacks; weather conditions; natural disasters and other unforeseen events; and the other risks and uncertainties described in CLH’s public filings. Readers are urged to read these presentations and carefully consider the risks, uncertainties and other factors that affect CLH’s business. The information contained in these presentations is subject to change without notice, and CLH is not obligated to publicly update or revise forward-looking statements. Unless the context indicates otherwise, all references to pricing initiatives, price increases or decreases, refer to CLH’s prices for CLH’s products.
UNLESS OTHERWISE NOTED, ALL CONSOLIDATED FIGURES ARE PRESENTED IN DOLLARS AND ARE BASED ON THE FINANCIAL
STATEMENTS OF EACH COUNTRY PREPARED UNDER INTERNATIONAL FINANCIAL REPORTING STANDARDS.
Copyright CEMEX Latam Holdings, S.A. and its subsidiaries.
2
|
|
|| Financial Results Summary
EBITDA Variation FY2016
EBITDA remained flat, while -6% net sales decreased by 2%
0% on a like-to-like basis1 during the year compared to those of 2015
449 4 4 -12 5 -2 449 -25 424
Full year increase in margins mainly explained by
the positive performance in Panama, Nicaragua and Guatemala
Significant achievements
EBITDA Vol Price O. Costs Dist SG&A EBITDA Fx EBITDA
2015 ltl1 2016 2016 despite of external factors
- Lowest level of working capital investment in the history of CLH
31.5% 32.2%
+ 0.7pp — All time high EBITDA and margins in EBITDA EBITDA Nicaragua and Guatemala, and record EBITDA margin in Panama
Margin Margin 2015 2016
3
(1) Adjusted by foreign-exchange fluctuations
|
|
|| Financial Results Summary
EBITDA Variation 4Q16
-19%
-21% Net sales and EBITDA 103 -5 declined by 7% and 19%
-16 during 4Q16, respectively, versus those
-0.7 0 -0.3 81 3 84 of 4Q15
Margin decline in 4Q16 mainly explained by:
EBITDA Vol Price O. Costs Dist SG&A EBITDA Fx EBITDA
2015 ltl1 2016 2016 —Lower volumes and prices in Colombia and Costa Rica
- Higher maintenance works in Colombia 31.8% 27.7% —Extraordinary charges of labor costs—4.1pp related to the Maceo cement project
EBITDA EBITDA Margin Margin
4Q15 4Q16 4
|
|
|| Consolidated Volumes and Prices
2016vs. 4Q16 vs. 4Q16 vs. 2015 4Q15 3Q16
Our volumes declined in our
Volume (1%) 0% (5%)
Domestic three main products in 2016,
gray Price (USD) (5%) (8%) (7%) volume in cement despite of our records Price (LtL1) 1% (8%) (6%) Guatemala, Nicaragua and Costa Rica
Volume (9%) (6%) (9%) Higher prices in 2016
Ready-mix in our three main products, on a like-concrete Price (USD) (4%) 1% (3%) to-like1 basis, compared to those of
Price (LtL1) 2% 2% (1%) 2015
Volume (14%) (10%) (8%) Our cement prices declined Aggregates Price (USD) 1% 3% (6%) by 8% in 4Q16, year-over-year
mainly due to tougher competitive
Price (LtL1) 8% 4% (5%) dynamics in Colombia
(1) Like-to-like prices adjusted by foreign-exchange fluctuations 5
|
|
REGIONAL HIGHLIGHTS
Results 4Q16
|
|
Results Highlights Colombia
|
|
|| Colombia – Results Highlights
National cement consumption
2016 2015 % var 4Q16 4Q15 % var
was heavily affected by:
Net Sales 665 725 (8%) 153 173 (12%)—Macroeconomic challenges
Financial —Transportation strike in June and July
Summary Op. EBITDA 214 248 (14%) 38 60 (37%)
of 2015
US$ Million as % net sales 32.1% 34.2% (2.1pp) 24.6% 34.4% (9.8pp)
Higher prices in our three
2016 vs. 2015 4Q16 vs. 4Q15 4Q16 vs. 3Q16 main products in 2016,
Cement 0% (3%) (2%) compared to those of 2015, although competitive dynamics worsened in 2H16
Volume Ready mix (8%) (6%) (9%)
EBITDA margin deterioration
Aggregates (13%) (7%) (7%)
in 4Q16 mainly explained by:
- Lower volumes (~2pp)
2016 vs. 2015 4Q16 vs. 4Q15 4Q16 vs. 3Q16 —Lower prices (~4pp)
Cement 1% (14%) (9%) —Higher maintenance expenses (~1.3pp) Price —Extraordinary charges of labor costs in (Local Currency) Ready mix 4% 3% (1%) Maceo (~2.5 pp), which on a pro-forma basis would have negatively affected
Aggregates 11% 5% (2%)
margins by ~0.65pp per quarter 8
|
|
|| Colombia – Residential Sector
Over 100k subsidies from Housing Ministry expected in 2017 We estimate cement demand for residential decreased by ~2%
in 2016, on a year over year basis 33,500 social housing subsidies on mortgage rate
19,557 units under “Mi casa ya” subsidy program
11,000 units under “Mi casa ya—Ahorro” subsidy program The investment budget of the
Housing Ministry is expected to
25,000 units under subsidy on middle-income housing on mortgage rate grow by ~18% in 2017
12,500 units under free housing program
We expect cement demand for residential sector to remain flat
in 2017, versus that of 2016
9
|
|
|| Colombia – Infrastructure Sector
We estimate cement demand for infrastructure declined by ~8%,
explained by a high comparison base in 2015, and low demand from new projects
Demand of our products for this sector in 2017 to be driven by:
- Initial works of 4G program, specially in 2H17
- Higher project execution by local and regional administrations
CLH already secured 17 contracts to supply works in
We expect a 3.3% increase in
functional units of 4G cement demand
programs for infrastructure sector during 2017 10
|
|
Results Highlights Panama
|
|
|| Panama – Results Highlights
Ready-mix and aggregates
2016 2015 % var 4Q16 4Q15 % var
volumes grew by 13% and 7%,
Net Sales 256 285 (10%) 57 61 (6%)
Financial respectively, in 4Q16 vs. those of 4Q15
Summary Op. EBITDA 116 117 (1%) 26 26 0%
US$ Million
as % net Cement prices increased by 2%
sales 45.3% 41.2% 4.1pp 45.3% 42.4% 2.9pp
in 2016 and remained flat in 4Q16
2016 vs. 2015 4Q16 vs. 4Q15 4Q16 vs. 3Q16 on a year-over-year basis
Cement (14%) (5%) (21%) EBITDA remained practically flat
Volume Ready mix (3%) 13% (7%) in 2016 and 4Q16,
Aggregates (5%) 7% (7%) on a year-over-year basis, even with a drop of 10% and 6% in net sales, respectively
2016 vs. 2015 4Q16 vs. 4Q15 4Q16 vs. 3Q16
Cement 2% 0% (1%) EBITDA margin increased in 2016
Price compared to that of 2015, through
(Local Currency) Ready mix (4%) (3%) (4%)
successful execution of our value before Aggregates (3%) (6%) (4%) volume strategy and cost efficiency initiatives 12
|
|
|| Panama – Sector Highlights
The government intends to reduce the Residential sector was the main existing housing deficit in the country by driver of cement demand in about 25% in the next 3 years 2016 growing by 3% vs. 2015
In 2017 projects for ~ US$ 2.3 B could start construction
Among the most important are:
- Arraiján-Panama highway expansion
- Expansion of the Trans-ístmica
- The port of Rodman
- The electricity generation project of AES Colón
Our sector expectations for 2017 are:
- Residential: Flat
- Infrastructure: ~10%1
- Industrial & Commercial: Flat
(1) Adjusted by the effect of the Panama Canal expansion
|
|
Results Highlights Costa Rica
|
|
|| Costa Rica – Results Highlights
2016 2015 % var 4Q16 4Q15 % var Volumes continue affected by Net Sales 151 167 (9%) 32 36 (12%) tough comparison base in 2015,
Financial and a lack of execution of new
Summary Op. EBITDA 61 69 (12%) 12 15 (19%) infrastructure works
US$ Million as % net sales 40.1% 41.3% (1.2pp) 37.8% 41.5% (3.7pp)
New record in aggregates
2016 vs. 2015 4Q16 vs. 4Q15 4Q16 vs. 3Q16 volumes in 2016;
Cement (12%) (8%) (17%) aggregates dispatches grew by 9% versus those of 2015
Volume Ready mix (9%) (20%) (23%)
Aggregates 9% (5%) (23%) Aggregates and ready-mix prices increased by 4% and 2%
2016 vs. 2015 4Q16 vs. 4Q15 4Q16 vs. 3Q16 in 2016 compared to those of 2015
Cement (3%) (4%) (2%)
Price EBITDA margin declined 1.2pp
(Local Currency) Ready mix 2% (9%) (3%) in 2016 vs.2015, mostly explained by Aggregates 4% (3%) (25%) lower cement volumes and prices
15
|
|
|| Costa Rica– Sector Highlights
We expect a 1% increase in cement dispatches for housing
projects in 2017, on a year-over-year basis
Demand of cement for industrial and commercial sector should increase 1% in 2017
driven by construction of Hotels, supermarkets, big-box retailers, and warehouses
We expect cement volumes for infrastructure to grow ~13%
as the government resumes some
We have seen better prospects from residential loans and projects in advance of the presidential increasing building permits, revealing confidence among elections homebuilders
|
|
Results Highlights Rest of CLH
|
|
|| Rest of CLH – Results Highlights
2016 2015 % var 4Q16 4Q15 % var
Rest of CLH cement volumes
Net Sales 263 269 (2%) 66 60 10% increased by 13% and 10%
Financial during 4Q16 and 2016, respectively,
Summary Op. EBITDA 84 73 16% 20 16 27%
US$ Million over those of the same periods in 2015
as % net sales 32.0% 27.1% 4.9pp 29.7% 25.9% 3.8pp
2016 vs. 2015 4Q16 vs. 4Q15 4Q16 vs. 3Q16
EBITDA grew by 27% and 16%
Cement 10% 13% 4% in 4Q16 and 2016, respectively, on a year-over-year basis
Volume Ready mix (37%) (32%) 2%
Aggregates (66%) (69%) (2%)
EBITDA Margin expansion of
2016 vs. 2015 4Q16 vs. 4Q15 4Q16 vs. 3Q16 3.8pp and 4.9pp during the
Cement 0% 0% (1%) fourth quarter and full year 2016,
Price
(Local Currency) Ready mix 0% 2% 2% respectively, driven by strong performance in Nicaragua and Guatemala
Aggregates (6%) 2% 6%
18
|
|
|| Rest of CLH – Sector Highlights
Despite of positive performance, we In Nicaragua, public construction remain cautious in Nicaragua given a partially offset the slowdown perceived vulnerability of external
seen in residential during 2016
accounts
Infrastructure sector should remain as the demand driver
of our products in 2017
In Guatemala, public spending declined in 2016 due to
regulatory changes, economic uncertainty, and a limited access to external funding
We expect more favorable economic conditions in 2017.
Private consumption should continue growing on the back of solid remittance inflows
|
|
FREE CASH FLOW
4Q16 Results
|
|
|| We will continue with disciplined working capital management
Working Capital Balance
(Average Days)
2014 2015 2016 CLH reduced its annual average
Avg. Days: 13
24 working capital
22 21 21 investment in
US$ 67 million
17 15 12
Avg. Days: -5
2 2
-1—6—14
1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q
3Q
4Q 21
|
|
|| Free Cash Flow
US$ Million 2016 2015 % var 4Q16 4Q15 % var Lower
working capital
Operating . EBITD EBITDA 424 450 (6%) 84 104 (19%) investment, financial expenses
- Net Financial Expense 64 74 15 16 and cash taxes
helped partially offset a 6% decline in
- Maintenance Capex 56 52 24 26
EBITDA in 2016
- Change in Working Cap (38) (44) (21) (20)
Free cash flow after maintenance
- Taxes Paid 100 107 15 20 capex declined by 8% in 4Q16 in
- Other Cash Items (net) 5 12 (5) 1 spite of a 19% decline in EBITDA,
Free Cash Flow on a year-over-year basis
Free Cash Flow 237 249 (5%) 56 61 (8%)
After Maintenance Capex
- Strategic Capex 140 144 32 34 Total debt was reduced
during 2016 to US$983 million
Free Free Cash Cash Flow Flow 97 105 (8%) 24 27 (9%)
22
|
|
|| Consolidated debt maturity profile
Current agreement US$ Million 821 Reached agreement in principle to renegotiate the
Average Life: terms for US$ 717 million of 1.9 yrs. 162 our debt with CEMEX,
New 6 year loan, also with CEMEX, Blended Cost: for US$717 million at a fixed rate of
6.38 % 5.65%
2017 2018 Refinancing would reduce by more than 100bp the blended
New agreement assuming successful cost of our total debt with execution of refinancing with CEMEX 717 CEMEX, reaching 5.37%
Average Life: 242
4.9 yrs. US$ Million Annual savings in interest expense of ~US$ 9.7 million,
Blended Cost: would be achieved through this
24
5.37 % refinancing, assuming current outstanding debt
2017 2018 2023
|
|
GUIDANCE
4Q 16 Results
|
|
|| 2017 Guidance
Volume YoY% consolidated Guidance for volumes in 2017:
Cement Ready—Mix Aggregates + Cement: 0%
Colombia + Ready-mix: 1% to 3%
0% 1% to 3% 0%
+ Aggregates: 0%
Maintenance and Strategic
Cement Ready—Mix Aggregates
Panama 1% to 3% 1% to 3% 1% to 3% Capex in 2017
are expected to be about US$56 M and US$40 M, respectively
Cement Ready—Mix Aggregates Consolidated Cash taxes
Costa Rica
1% to 3% 1% to 3% 1% to 3% are expected to range between US$100 M and US$110 M
25
|
|
RESULTS 4Q16
February 9, 2017