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, 2018
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 8, 2018, announcing fourth quarter 2017 results for CEMEX Latam Holdings, S.A., an indirect subsidiary of CEMEX, S.A.B. de C.V. (NYSE: CX). |
| 2. | Fourth quarter 2017 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 2017 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 8, 2018 | By: |
/s/ Rafael Garza | ||
| Name: Rafael Garza | ||||
| Title: Chief Comptroller | ||||
EXHIBIT INDEX
| EXHIBIT NO. |
DESCRIPTION | |
| 1. | Press release, dated February 8, 2018, announcing fourth quarter 2017 results for CEMEX Latam Holdings, S.A., an indirect subsidiary of CEMEX, S.A.B. de C.V. (NYSE: CX). | |
| 2. | Fourth quarter 2017 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 2017 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 2017 RESULTS
| • | In Colombia, our cement prices in local-currency as of December were ~3.5% higher than they were in June, as we continued with our Value Before Volume strategy in the country. |
| • | We reached a new EBITDA record in our Rest of CLH operations in 2017, where our cement volumes grew for 10th consecutive quarter in 4Q17 on a year-over-year basis. |
| • | During the fourth quarter, our ready-mix and aggregates volumes more than doubled in the Rest of CLH region, compared to those of the same period in 2016. |
| • | During the fourth quarter our working capital investment remained in negative territory for seventh consecutive quarter, with minus 14 average working capital days. During this period, we achieved negative trade working capital in our operations in Colombia, Costa Rica, Nicaragua, Guatemala, and El Salvador. |
BOGOTA, COLOMBIA. FEBRUARY 8, 2018 – CEMEX Latam Holdings, S.A. (“CLH”) (BVC: CLH), announced today that consolidated net sales reached US$289 million during the fourth quarter of 2017, decreasing by 5%, against those of the same period of 2016. During the full year consolidated net sales reached US$1,243 million, declining by 6% on a year-over-year basis. These declines are mostly explained by lower cement volumes and prices in Colombia. As a result, operating EBITDA declined by 15% and 27% during the fourth quarter and the full year, respectively, compared to those of the same periods in 2016.
During the fourth quarter of 2017, our consolidated domestic gray cement and ready-mix volumes decreased by 2% while our aggregates volumes increased by 2%, compared to those of the fourth quarter of 2016. During the quarter our cement dispatches grew in Costa Rica and the Rest of CLH region, on a year-over-year basis.
Jaime Muguiro, CEO of CLH, said, “Despite the positive traction of our Value before Volume strategy in Colombia, where our cement prices in December were ~3.5% higher than they were in June of 2017, as well as the positive results in Costa Rica, and our Rest of CLH region, during the quarter not only cement price levels in Colombia continued well below those of last year, but also national cement consumption in Colombia and Panama remained subdued.”
CLH’s Financial and Operational Highlights
| • | Our EBITDA was negatively affected as our cement prices in Colombia declined by 12% and 19%, in local-currency terms, during the fourth quarter and full year, respectively, compared to those of the same periods in 2016. |
| • | In Colombia, after four consecutive quarters of declines in our cement prices, in local currency terms, they increased by 2% during the fourth quarter, on a sequential basis. |
| • | Our successful cost containment efforts in Colombia helped us partially offset the negative effect of lower demand for our products in the country. |
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| • | For tenth consecutive quarter our cement volumes increased in our Rest of CLH region, on a year over year basis. |
| • | During the fourth quarter, our ready-mix and aggregates volumes more than doubled in the Rest of CLH region, compared to those of the same period in 2016. |
| • | Daily cement dispatches grew in Costa Rica for the third consecutive quarter, on a year over year basis. |
| • | For seventh consecutive quarter, during the October-December period, our working capital investment remained in negative territory. |
| • | Our Strategic Capex decreased by US$110 million and US$32 million during the year and the fourth quarter, respectively, compared to that of the same periods in 2016. |
| • | During 2017, our Total Debt was reduced by US$56 million, on a year-over-year basis. |
Jaime Muguiro added, “Despite the headwinds we faced in 2017 in our operations, I am optimistic about the recent and encouraging developments with regards to our prices in Colombia and our volumes in Costa Rica, which should allow us to continue with our Value Before Volume strategy in these countries, and which should impact positively our results in the upcoming quarters.”
Consolidated Corporate Results
Controlling interest net income during 2017 reached US$46 million, declining 67% compared to that of
2016. During the fourth quarter of 2017 we registered a controlling interest net loss of US$33 million, US$29 million less than in the fourth quarter of 2016.
Net debt during the fourth quarter of 2017 reached US$882 million.
Geographical Markets Fourth Quarter 2017 Highlights
Operating EBITDA in Colombia decreased by 20% to US$30 million, versus US$38 million in the fourth quarter of 2016, with a decline of 13% in net sales, reaching US$134 million.
In Panama, operating EBITDA decreased by 18% to US$21 million during the quarter. Net sales reached US$54 million in the fourth quarter of 2017, a decline of 4% compared to those in the same period of 2016.
In Costa Rica, operating EBITDA reached US$13 million during the quarter, increasing by 9% on a year-over-year basis. Net sales increased by 10% to US$35 million, compared to those of the fourth quarter of 2016.
In the Rest of CLH operating EBITDA declined by 2% to US$19 million during the quarter. Net sales reached US$70 million in the fourth quarter of 2017, an increase of 6% compared to those of the same period in 2016.
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.
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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 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.
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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.
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Exhibit 2
2017 FOURTH QUARTER RESULTS â–ª Stock Listing Information Colombian Stock Exchange S.A. Ticker: CLH â–ª Investor Relations Jesús Ortiz de la Fuente +57 (1) 603-9051 E-mail: jesus.ortizd@cemex.com
OPERATING AND FINANCIAL HIGHLIGHTS January—December Fourth Quarter20172016% var 20172016% varConsolidated cement volume7,4477,460(0%)1,7751,794(1%)Consolidated domestic gray cement6,5376,569(0%)1,5631,593(2%)Consolidated ready-mix volume2,9083,079(6%)712724(2%)Consolidated aggregates volume6,9857,264(4%)1,7511,7172%Net sales1,2431,315(6%)289303(5%)Gross profit536638(16%)127142(10%)as % of net sales43.1%48.5%(5.4pp)44.2%47.0%(2.8pp)Operating earnings before other231342(33%)5467(20%)expenses, netas % of net sales18.6%26.0%(7.4pp)18.6%22.1%(3.5pp)Controlling interest net income (loss)46140(67%)-33-4(812%)Operating EBITDA310424(27%)7284(15%)as % of net sales25.0%32.2%(7.2pp)24.9%27.7%(2.8pp)Free cash flow after maintenance75237(69%)056N/Acapital expendituresFree cash flow4597(53%)024(100%)Net debt882938(6%)882938(6%)Total debt927983(6%)927983(6%)Earnings per share0.080.25(67%)(0.06)(0.01)(806%)Shares outstanding at end of period5575560%5575560%Employees4,2974,707(9%)4,2974,707(9%)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 the fourth quarter of 2017 declined by 5% compared to those of the fourth quarter of 2016. For the full year consolidated net sales decreased by 6%, compared to those of 2016. These declines are mostly explained by lower cement volumes and prices in Colombia. Cost of sales as a percentage of net sales during 2017 increased by 5.4pp from 51.5% to 56.9%, on a year-over-year basis. Operating expenses as a percentage of net sales during 2017 increased by 2.1pp from 22.5% to 24.6%, compared to those of 2016. Operating EBITDA during the fourth quarter of 2017 declined by 15% compared to that of the fourth quarter of 2016. During the full year operating EBITDA decreased by 27%, compared to that of 2016. This decline is mainly explained by lower cement volumes and prices in Colombia. Operating EBITDA margin during the fourth quarter of 2017 declined by 2.8pp, compared to that of the fourth quarter of 2016. During 2017 operating EBITDA margin declined by 7.2pp compared to that of 2016. Controlling interest net income during 2017 reached US$46 million, declining 67% compared to that of 2016. During the fourth quarter of 2017 we registered a Controlling interest net loss of US$33 million, US$29 million less than in the fourth quarter of 2016. Total debt at the end of the year reached US$927 million. 2017 Fourth Quarter Results Page 2
OPERATING RESULTS Colombia January—December Fourth Quarter2017 2016 % var 2017 2016 % varNet sales 566 665 (15%) 134 153 (13%) Operating EBITDA 113 214 (47%) 30 38 (20%) Operating EBITDA margin 19.9% 32.1% (12.2pp) 22.5% 24.6% (2.1pp)In millions of US dollars, except percentages.Domestic gray cement Ready-Mix Aggregates January—January—January—December Fourth Quarter December Fourth Quarter December Fourth QuarterVolume (6%) (8%) (13%) (8%) (17%) (12%) Price (USD) (17%) (11%) 0% (2%) 7% 5% Price (local currency) (19%) (12%) (2%) (4%) 4% 4%Year-over-year percentage variation.In Colombia, during the fourth quarter our domestic gray cement and ready-mix volumes decreased by 8% while our aggregates volumes declined by 12%, compared to those of the fourth quarter of 2016. For the full year, our domestic gray cement, ready-mix and aggregates volumes decreased by 6%, 13% and 17%, respectively, compared to those of 2016. Cement consumption, both during the full year and the fourth quarter, was affected by weak demand from industrial and commercial projects, as well as from high and middle income housing developments. Although our cement prices in local currency terms declined in 4Q17 on a year-over-year basis, they increased 2% against those of 3Q17. Our cement prices in local currency terms as of December were ~3.5% higher than in June. The deterioration in EBITDA during the fourth quarter, on a year over year basis, relates mainly to lower cement volumes and prices, higher distribution costs due to the closure of our Bucaramanga plant, and higher fuel costs. Panama January—December Fourth Quarter2017 2016 % var 2017 2016 % varNet sales 266 256 4% 54 57 (4%) Operating EBITDA 108 116 (7%) 21 26 (18%) Operating EBITDA margin 40.7% 45.3% (4.6pp) 38.5% 45.3% (6.8pp)In millions of US dollars, except percentages.Domestic gray cement Ready-Mix Aggregates January—January—January—December Fourth Quarter December Fourth Quarter December Fourth QuarterVolume 3% (3%) 9% (12%) 13% (1%) Price (USD) (0%) 0% (0%) (2%) (4%) (8%) Price (local currency) (0%) 0% (0%) (2%) (4%) (8%)Year-over-year percentage variation.In Panama during the fourth quarter our domestic gray cement, ready-mix and aggregates volumes decreased by 3%, 12% and 1%, respectively, compared to those of the fourth quarter of 2016. During 2017, our domestic gray cement, ready-mix and aggregates volumes increased by 3%, 9% and 13%, respectively, compared to those of 2016. Our cement dispatches in the country both during the full year and the fourth quarter were driven by infrastructure works like the second line of the Subway, Minera Panamá, and the urban renovation of Colon city, as well as by middle-income and low-income residential projects. Our margin decline of 6.8 percentage points during the quarter is mostly explained by lower demand for our three core products, lower ready-mix and aggregates prices, higher fuel costs, and a higher clinker factor in our cement operations related to the change in our limestone source. 2017 Fourth Quarter Results Page 3
OPERATING RESULTS Costa Rica January—December Fourth Quarter2017 2016 % var 2017 2016 % varNet sales 149 151 (2%) 35 32 10% Operating EBITDA 53 61 (12%) 13 12 9% Operating EBITDA margin 35.7% 40.1% (4.4pp) 37.2% 37.8% (0.6pp)In millions of US dollars, except percentages.Domestic gray cement Ready-Mix Aggregates January—January—January—December Fourth Quarter December Fourth Quarter December Fourth QuarterVolume 3% 17% 11% 43% 36% 65% Price (USD) (7%) (4%) (14%) (7%) (50%) (44%) Price (local currency) (3%) (2%) (10%) (5%) (49%) (43%)Year-over-year percentage variation.In Costa Rica, during the fourth quarter our domestic gray cement, ready-mix and aggregates volumes increased by 17%, 43% and 65%, respectively, compared to those of the fourth quarter of 2016. For the full year our domestic gray cement, ready-mix and aggregates volumes increased by 3%, 11% and 36%, respectively, compared to those of 2016. Daily national cement consumption increased during the October-December period for the third consecutive quarter, on a year-over-year basis, fueled by industrial and commercial developments. Execution of infrastructure works in the country remained subdued during the fourth quarter. Rest of CLH January—December Fourth Quarter2017 2016 % var 2017 2016 % varNet sales 286 263 8% 70 66 6% Operating EBITDA 85 84 0% 19 20 (2%) Operating EBITDA margin 29.7% 32.0% (2.3pp) 27.4% 29.7% (2.3pp)In millions of US dollars, except percentages.Domestic gray cement Ready-Mix Aggregates January—January—January—December Fourth Quarter December Fourth Quarter December Fourth QuarterVolume 9% 6% 45% 103% 101% 234% Price (USD) (0%) 1% (11%) (14%) (16%) (25%) Price (local currency) (0%) 2% (10%) (12%) (12%) (21%)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 2017 our domestic gray cement, ready-mix and aggregates volumes increased by 6%, 103%, and 234%, respectively, compared to those of the fourth quarter of 2016. The October-December period was the 10th consecutive quarter that our cement volumes grew on a year-over-year basis. For the full year, our domestic gray, ready-mix and aggregates volumes increased by 9%, 45%, and 101% respectively, compared to those of 2016. In Nicaragua, infrastructure works continued to drive cement consumption. Although housing developments continue to demand our products, construction activity for new projects has slowed down in recent quarters. With regards to Guatemala, while residential, and industrial and commercial works continue to drive cement demand, consumption from public works remains dull. During the fourth quarter national cement consumption was negatively affected by a decrease in demand from two mining projects. 2017 Fourth Quarter Results Page 4
OPERATING EBITDA, FREE CASH FLOW AND DEBT RELATED INFORMATION Operating EBITDA and free cash flow January—December Fourth Quarter2017 2016 % var 2017 2016 % var Operating earnings before other expenses, net 231 343 (33%) 54 67 (20%)+ Depreciation and operating amortization 79 81 18 17 Operating EBITDA 310 424 (27%) 72 84 (15%)- Net financial expense 63 64 17 15—Capital expenditures for maintenance 51 56 15 24—Change in working Capital 17 (38) 23 (21)—Taxes paid 100 100 17 15—Other cash items (Net) 4 5 0 (5)Free cash flow after maintenance capital exp 75 237 (69%) 0 56 (100%)- Strategic Capital expenditures 30 140 (0) 32 Free cash flow 1 45 97 (53%) 0 24 (100%)In millions of US dollars, except percentages. 1) In connection with the penalty imposed by the Colombian Superintendence of Industry and Commerce, an accounting provision was created in December 2017, affecting our Controlling Interest Net Income in 4Q17. The cash outflow for this matter took place on January 5, 2018, when the fine was paid. For purposes of the table above, the expense and the account payable are presented net. Information on Debt Third Fourth Quarter Quarter Fourth Quarter 2017 2016 % var 2017 2017 2016 Total debt 1, 2 927 983 922 Currency denomination Short term 37% 16% 16% U.S. dollar 98% 97% Long term 63% 84% 84% Colombian peso 2% 3% Cash and cash equivalents 45 45 1% 41 Interest rate Net debt 882 938 (6%) 881 Fixed 63% 75% Variable 37% 25%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.2017 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 QuarterINCOME STATEMENT 2017 2016 % var 2017 2016 % varNet sales 1,242,897 1,315,326 (6%) 288,576 303,173 (5%) Cost of sales (706,777) (676,860) (4%) (161,095) (160,818) (0%)Gross profit 536,120 638,466 (16%) 127,481 142,355 (10%)Operating expenses (305,284) (296,000) (3%) (73,872) (75,448) 2%Operating earnings before other expenses, net 230,836 342,466 (33%) 53,609 66,907 (20%)Other expenses, net (79,347) (30,219) (163%) (73,306) (27,512) (166%)Operating earnings 151,489 312,247 (51%) (19,697) 39,395 N/A Financial expenses (63,290) (63,701) 1% (16,671) (14,372) (16%) Other income (expenses), net (4,466) (484) (823%) (3,582) (12,927) 72%Net income before income taxes 83,733 248,062 (66%) (39,950) 12,096 N/A Income tax (37,322) (107,793) 65% 6,865 (15,746) N/AConsolidated net income 46,411 140,269 (67%) (33,085) (3,650) (807%)Non-controlling Interest Net Income (316) (500) 37% (28) 18 N/AControlling Interest Net Income 46,095 139,769 (67%) (33,113) (3,632) (812%)Operating EBITDA 310,327 423,650 (27%) 71,761 84,067 (15%) Earnings per share 0.08 0.25 (67%) (0.06) (0.01) (806%)as of December 31BALANCE SHEET 2017 2016 % var Total Assets 3,293,989 3,294,646 (0%) Cash and Temporary Investments 45,154 44,907 1% Trade Accounts Receivables 115,475 100,344 15% Other Receivables 58,238 33,278 75% Inventories 82,675 71,595 15% Other Current Assets 25,745 11,247 129% Current Assets 327,287 261,371 25% Fixed Assets 1,250,521 1,236,150 1% Other Assets 1,716,181 1,797,125 (5%)Total Liabilities 1,750,944 1,820,735 (4%)Current Liabilities 682,837 457,863 49% Long-Term Liabilities 1,052,481 1,347,146 (22%) Other Liabilities 15,626 15,726 (1%)Consolidated Stockholders’ Equity 1,543,045 1,473,911 5%Non-controlling Interest 4,910 4,813 2% Stockholders’ Equity Attributable to Controlling Interest 1,538,135 1,469,098 5%2017 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 QuarterINCOME STATEMENT 2017 2016 % var 2017 2016 % varNet sales 3,676,353 3,998,710 (8%) 865,876 923,009 (6%) Cost of sales (2,090,570) (2,057,715) (2%) (483,370) (489,610) 1%Gross profit 1,585,783 1,940,995 (18%) 382,506 433,399 (12%)Operating expenses (902,994) (899,866) (0%) (221,648) (229,700) 4%Operating earnings before other expenses, net 682,789 1,041,129 (34%) 160,858 203,699 (21%)Other expenses, net (234,701) (91,870) (155%) (219,959) (83,763) (163%)Operating earnings 448,088 949,259 (53%) (59,101) 119,936 N/A Financial expenses (187,202) (193,659) 3% (50,020) (43,751) (14%) Other income (expenses), net (13,212) (1,470) (799%) (10,749) (39,358) 73%Net income before income taxes 247,673 754,130 (67%) (119,870) 36,827 N/A Income tax (110,396) (327,699) 66% 20,601 (47,938) N/AConsolidated net income 137,277 426,431 (68%) (99,269) (11,111) (793%)Non-controlling Interest Net Income (932) (1,522) 39% (86) 50 N/AControlling Interest Net Income 136,345 424,909 (68%) (99,355) 11,061 N/AOperating EBITDA 917,914 1,287,934 (29%) 215,318 255,941 (16%) Earnings per share 246.60 766.44 (68%) (178.32) (19.97) (793%)as of December 31BALANCE SHEET 2017 2016 % var Total Assets 9,829,262 9,886,277 (1%) Cash and Temporary Investments 134,738 134,753 (0%) Trade Accounts Receivables 344,578 301,103 14% Other Receivables 173,782 99,859 74% Inventories 246,703 214,834 15% Other Current Assets 76,825 33,750 128% Current Assets 976,626 784,299 25% Fixed Assets 3,731,553 3,709,327 1% Other Assets 5,121,083 5,392,651 (5%)Total Liabilities 5,224,819 5,463,499 (4%)Current Liabilities 2,037,587 1,373,913 48% Long-Term Liabilities 3,140,603 4,042,397 (22%) Other Liabilities 46,629 47,189 (1%)Consolidated Stockholders’ Equity 4,604,443 4,422,778 4%Non-controlling Interest 14,652 14,441 1% Stockholders’ Equity Attributable to Controlling Interest 4,589,791 4,408,337 4% 2017 Fourth Quarter Results Page 7
OPERATING RESULTS Operating Summary per Country in thousands of U.S. dollars Operating EBITDA margin as a percentage of net sales January—December Fourth Quarter2017 2016 % var 2017 2016 % varNET SALESColombia 565,649 665,154 (15%) 133,630 153,369 (13%) Panama 266,273 256,301 4% 54,481 56,692 (4%) Costa Rica 148,855 151,370 (2%) 35,123 31,835 10% Rest of CLH 285,559 263,386 8% 70,182 66,225 6% Others and intercompany eliminations (23,439) (20,885) (12%) (4,840) (4,948) 2%TOTAL 1,242,897 1,315,326 (6%) 288,576 303,173 (5%)GROSS PROFITColombia 211,696 305,042 (31%) 52,564 62,170 (15%) Panama 124,426 129,591 (4%) 24,341 29,249 (17%) Costa Rica 70,619 77,895 (9%) 17,638 15,839 11% Rest of CLH 109,949 106,493 3% 26,143 25,958 1%Others and intercompany eliminations 19,430 19,445 (0%) 6,795 9,139 (26%)TOTAL 536,120 638,466 (16%) 127,481 142,355 (10%)OPERATING EARNINGS BEFORE OTHER EXPENSES, NET Colombia 86,666 187,468 (54%) 23,161 30,981 (25%) Panama 90,919 98,090 (7%) 16,326 21,256 (23%) Costa Rica 47,886 54,446 (12%) 11,805 10,520 12% Rest of CLH 78,718 78,892 (0%) 17,733 18,322 (3%) Others and intercompany eliminations (73,353) (76,430) 4% (15,416) (14,172) (9%)TOTAL 230,836 342,466 (33%) 53,609 66,907 (20%)OPERATING EBITDAColombia 112,774 213,836 (47%) 30,111 37,782 (20%) Panama 108,444 116,053 (7%) 20,969 25,689 (18%) Costa Rica 53,102 60,646 (12%) 13,077 12,031 9% Rest of CLH 84,756 84,398 0% 19,212 19,653 (2%) Others and intercompany eliminations (48,749) (51,283) 5% (11,608) (11,088) (5%)TOTAL 310,327 423,650 (27%) 71,761 84,067 (15%)OPERATING EBITDA MARGINColombia 19.9% 32.1% 22.5% 24.6% Panama 40.7% 45.3% 38.5% 45.3% Costa Rica 35.7% 40.1% 37.2% 37.8% Rest of CLH 29.7% 32.0% 27.4% 29.7%TOTAL 25.0% 32.2% 24.9% 27.7% 2017 Fourth Quarter Results Page 8
OPERATING RESULTS Volume Summary Consolidated volume summary Cement and aggregates in thousands of metric tons Ready mix in thousands of cubic meters January—December Fourth Quarter2017 2016 % var 2017 2016 % varTotal cement volume 1 7,447 7,460 (0%) 1,775 1,794 (1%) Total domestic gray cement volume 6,537 6,569 (0%) 1,563 1,593 (2%) Total ready-mix volume 2,908 3,079 (6%) 712 724 (2%) Total aggregates volume 6,985 7,264 (4%) 1,751 1,717 2%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 20172017 vs. 2016 2017 vs. 2016 vs. Third Quarter 2017DOMESTIC GRAY CEMENTColombia (6%) (8%) (5%) Panama 3% (3%) (21%) Costa Rica 3% 17% (3%) Rest of CLH 9% 6% 3%READY-MIXColombia (13%) (8%) (1%) Panama 9% (12%) (21%) Costa Rica 11% 43% (9%) Rest of CLH 45% 103% 73%AGGREGATESColombia (17%) (12%) 4% Panama 13% (1%) (20%) Costa Rica 36% 65% (5%) Rest of CLH 101% 234% 222%2017 Fourth Quarter Results Page 9
OPERATING RESULTS Price Summary Variation in U.S. dollars January—December Fourth Quarter Fourth Quarter 20172017 vs. 2016 2017 vs. 2016 vs. Third Quarter 2017DOMESTIC GRAY CEMENTColombia (17%) (11%) 1% Panama (0%) 0% 0% Costa Rica (7%) (4%) 1% Rest of CLH (0%) 1% 1%READY-MIXColombia 0% (2%) (2%) Panama (0%) (2%) (6%) Costa Rica (14%) (7%) (0%) Rest of CLH (11%) (14%) (9%)AGGREGATESColombia 7% 5% (5%) Panama (4%) (8%) (3%) Costa Rica (50%) (44%) (14%) Rest of CLH (16%) (25%) (19%)For Rest of CLH, volume-weighted average prices.Variation in local currency January—December Fourth Quarter Fourth Quarter 20172017 vs. 2016 2017 vs. 2016 vs. Third Quarter 2017DOMESTIC GRAY CEMENTColombia (19%) (12%) 2% Panama (0%) 0% 0% Costa Rica (3%) (2%) (0%) Rest of CLH (0%) 2% 2%READY-MIXColombia (2%) (4%) (1%) Panama (0%) (2%) (6%) Costa Rica (10%) (5%) (1%) Rest of CLH (10%) (12%) (8%)AGGREGATESColombia 4% 4% (4%) Panama (4%) (8%) (3%) Costa Rica (49%) (43%) (14%) Rest of CLH (12%) (21%) (18%) For Rest of CLH, volume-weighted average prices.2017 Fourth Quarter Results Page 10
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, 2017 and December 31, 2016 was $2,984.00 and $3,000.71 Colombian pesos per US dollar, respectively, and (ii) the consolidated results for the fourth quarter of 2017 and for the fourth quarter of 2016 were $3,000.51 and $3,044.49 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 January—December January—December Fourth Quarter2017 closing 2016 closing 2017 average 2016 average 2017 average 2016 averageColombian peso 2,984.00 3,000.71 2,957.89 3,040.09 3,000.51 3,044.49 Panama balboa 1.00 1.00 1.00 1.00 1.00 1.00 Costa Rica colon 572.56 561.10 572.30 552.06 571.08 559.89 Euro 1.20 1.05 1.14 1.10 1.18 1.07Amounts provided in units of local currency per US dollar.2017 Fourth Quarter Results Page 11
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. 2017 Fourth Quarter Results Page 12
Exhibit 3
RESULTS 4Q17February 8 , 2018
||Forward looking informationThis 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 SummaryNet Sales Operating EBITDA Margin EBITDA (US$M) (US$M) (%) -6%1,3151,243 -5%-27% -7.2pp303 289-15% 2% -2.8pp424 32 .84 . 7% 9% 310 72 . 0% 27 24 .252016 2017 4Q16 4Q17 2016 2017 4Q16 4Q17 2016 2017 4Q16 4Q173
||Consolidated Volumes and Prices2017vs. 4Q17 vs. 4Q17 vs. Our consolidated volumes 2016 4Q16 3Q17 for cement and ready-mix Domestic Volume 0% -2% -5% declined by 2% in 4Q17, while our aggregates volumes grew by gray Price (USD) -8% -4% 0%2%, on a year-over-year basis cement Price (LtL1) -8% -4% 1%Our cement and ready-mix Volume -6% -2% -1% prices declined by 4% Ready-mix Price (USD) 0% -3% -5% in 4Q17, in local currency terms1, from concrete 4Q16 levels, mainly as a result of intense Price (LtL1) -1% -4% -4% competitive dynamics in Colombia Volume -4% 2% 3% Our cement prices increased Aggregates Price (USD) -4% -7% -8% sequentially for the first time Price (LtL1) -5% -7% -7% since 3Q16, in local currency terms1(1) Like-to-like prices adjusted for foreign-exchange fluctuations 4
||EBITDA Variation 2017-27%424 -17-9915 -6 -7 1 310EBITDA Vol Price O. Costs Dist SG&A Fx EBITDA 2016 201732.2% 25.0%- 7.2ppEBITDA EBITDA Margin Margin 2016 2017 5
REGIONAL HIGHLIGHTS Results 4Q17
Results Highlights Colombia
||Colombia –Results Highlights2017 2016 % var 4Q17 4Q16 % var National cement dispatches Net Sales 566 665 -15% 134 153 -13% remain subdued. Financial We estimate that national cement Summary Op. EBITDA 113 214 -47% 30 38 -20% demand decreased by 2.9% and 2.7%, US$ Millionas % net in 4Q17 and 2017, respectively, on a sales 19.9% 32.1% (12.2pp) 22.5% 24.6% (2.1pp)year-over-year basis2017 vs. 2016 4Q17 vs. 4Q16 4Q17 vs. 3Q17 Our cement prices in local-Cement -6% -8% -5% currency terms as of Volume Ready mix -13% -8% -1% December were ~3.5% Aggregates -17% -12% 4% higher that they were in JuneThe deterioration in EBITDA 2017 vs. 2016 4Q17 vs. 4Q16 4Q17 vs. 3Q17 margin during 4Q17 vs. 4Q16 Cement -19% -12% 2%relates mainly to: Price (Local Currency) Ready mix -2% -4% -1%—Lower cement prices- Lower demand for our products Aggregates 4% 4% -4%- Higher distribution and fuel costs 8
||Colombia –2018 sector expectations Flat national cement consumption scenario considers:—Unfavorable comparison base in social—13% decrease in investment budget of the interest housing Central Government for transport infrastructure —Political uncertainty and low levels of—Constraints in public spending in election consumer confidence/household consumption year as a result of “ley de garantías” Potential variables that could boost national cement consumption: + Better conditions for middle-income residential, + Recovery in consumer and investor resulting from subsidies and lower interest rates confidence + Improving economic conditions fueled by + Higher execution of 4Gs, and insfrastructure higher oil prices projects in Bogotá 9
||Colombia –Potential demand for our products in Bogota BOGOTA METRO 01 Most ambitious infrastructure project in the recent history of Colombia. Estimated investment of ~US$4 B, construction expected to start in 2H19 ROAD ENHANCEMENTS AND URBAN RENOVATION 02 Construction and improvement of roads, such as: ALO, Cra. 7a, Alsacia-Tintal and Ciudad de Cali. In addition there are 16 plans for urban renovation, including, CAN and Lagos de Torca PUBLIC SPACES AND PUBLIC SERVICES 03 Construction of 5 new hospitals, works for water supply and sanitation, new penitentiary buildings EDUCATION INFRASTRUCTURE 04 Construction of 6 new schools and renovation of 14 other. Expansion of one university campus
Results Highlights Panama
||Panama –Results Highlights 2017 2016 % var 4Q17 4Q16 % var Despite the decline in volumes of Net Sales 266 256 4% 54 57 -4% our three core products in 4Q17, Financial they increased during the year, Summary Op. EBITDA 108 116 -7% 21 26 -18% US$ Million vs. those of the same periods in 2016 as % net sales 40.7% 45.3% (4.6pp) 38.5% 45.3% (6.8pp) During 1H17 we had a favorable 2017 vs. 2016 4Q17 vs. 4Q16 4Q17 vs. 3Q17 comparison base in Panama Cement 3% -3% -21% reflecting a low level of construction Volume activity in 1H16 Ready mix 9% -12% -21% Aggregates 13% -1% -20% The deterioration in EBITDA margin during 4Q17 vs. 4Q16 2017 vs. 2016 4Q17 vs. 4Q16 4Q17 vs. 3Q17 is mostly explained by: Cement 0% 0% 0%—Lower demand for our products Price—Lower ready-mix and aggregates prices (Local Currency) Ready mix 0% -2% -6%—Higher fuel costs Aggregates -4% -8% -3%—Higher clinker factor—Change in our limestone source 12
|| Panama –Sector Highlights Competitive dynamics in Panama could be more challenging in 2018 National cement demand expected to remain subdued in 1H18, while construction of new infrastructure projects begins Public works should be supported in the mid-term by Government accounts. Strong pipeline of projects includes:—3rd line of the subway National cement demand slowed down in recent quarters as a—4th bridge over the Canal—The Corozal port result of delays in new infrastructure projects, and high—Natural Gas plant (Isla Margarita) inventory levels of apartments and offices in Panama City 13
Results Highlights Costa Rica
||Costa Rica –Results Highlights 2017 2016 % var 4Q17 4Q16 % var Third consecutive quarter with Net Sales 149 151 -2% 35 32 10% growth in daily cement sales, Financial on a year-over-year basis Summary Op. EBITDA 53 61 -12% 13 12 9% US$ Million as % net sales 35.7% 40.1% (4.4pp) 37.2% 37.8% (0.6pp) Double digit increase in volumes 2017 vs. 2016 4Q17 vs. 4Q16 4Q17 vs. 3Q17 of our three core products, Cement 3% 17% -3% in 4Q17 versus those of 4Q16 Volume Ready mix 11% 43% -9% Aggregates 36% 65% -5% Net sales and EBITDA increased by 10% and 9%, respectively, 2017 vs. 2016 4Q17 vs. 4Q16 4Q17 vs. 3Q17 during the quarter, Cement -3% -2% 0% compared to those of 4Q16, mainly as a Price Ready mix -10% -5% -1% result of higher dispatches to the (Local Currency) Oxígeno project, and lower volumes of Aggregates -49% -43% -14% imported cement in the market 15
|| Costa Rica– Sector Highlights Demand for our products in upcoming quarters should be driven by the execution of :—Oxígeno project—Hotels and warehouses—Works in public universities—Residential developments Despite the delays in execution in 2017, we expect demand from public works to decline in 2018 Political uncertainty remains in anticipation of the second round Despite the improving demand prospects in the country, given the challenging competitive dynamics we expect in 2H18, we remain of the presidential elections cautiously optimistic regarding our Costa Rica operations 16
Results Highlights Rest of CLH
||Rest of CLH –Results Highlights 2017 2016 % var 4Q17 4Q16 % var New historic record in net sales Net Sales 286 263 8% 70 66 6% and EBITDA in 2017 Financial Summary Op. EBITDA 85 84 0% 19 20 -2% Our cement volumes grew for US$ Million as % net sales 29.7% 32.0% (2.3pp) 27.4% 29.7% (2.3pp) 10th consecutive quarter in 4Q17 on a year-over-year basis 2017 vs. 2016 4Q17 vs. 4Q16 4Q17 vs. 3Q17 Cement 9% 6% 3% Our ready-mix and aggregates Volume Ready mix 45% 103% 73% volumes more than doubled in 4Q17, versus 4Q16 levels Aggregates 101% 234% 222% EBITDA Margin declined 2.3pp 2017 vs. 2016 4Q17 vs. 4Q16 4Q17 vs. 3Q17 in 4Q17 vs.4Q16, mostly explained by: Cement 0% 2% 2%—Product-mix effect reflecting higher Price ready-mix and aggregates volumes Ready mix -10% -12% -8%—Lower ready-mix prices in Nicaragua (Local Currency)—Higher cement volumes in El Salvador Aggregates -12% -21% -18% and Brazil 18
||Rest of CLH –Nicaragua highlights Our cement volumes increased for fifth consecutive year in 2017 Our ready-mix and aggregates volumes more than doubled during 2017, on a year-over-year basis The growth rate of national cement consumption could slow down this year, since construction works for new residential projects continue to decline We expect infrastructure works to continue to drive demand for Our cautious view of Nicaragua remains given the vulnerabilities of our products in 2018 the country’s external accounts 19
||Rest of CLH –Guatemala highlights In 2017 we were able to maintain our EBITDA level despite lower volumes of our three core products, on a year-over-year basis Residential, and industrial and commercial works continue to drive cement demand, whereas consumption from public works remains dull We strengthened our market position among small retailers, after demand from mining projects started to decline in 3Q17 20
FREE CASH FLOW 4 Q 1 7 R e s u l t s
||Free Cash Flow US$ Million 2017 2016 % var 4Q17 4Q16 % var Free cash flow after strategic Operating Op. EBITDA EBITDA 310 424 -27% 72 84 -15% Capex decreased to US$45 M in 2017—Net Financial Expense 63 64 17 15—Maintenance Capex 51 56 15 24—Change in Working Cap 17 -38 23 -21 The negative effect from the EBITDA variation was partially —Taxes Paid 100 100 17 15 offset by:—Lower strategic Capex—Other Cash Items (net) 4 5 0 -5—Lower maintenance Capex Free Cash Flow—Sales of idle and non-core fixed assets Free Cash Flow 75 237 -69% 0 56 -100% After Maintenance Capex—Strategic Capex 30 140 0 32 1 Net debt was reduced Free Cash Flow 45 97 -53% 0 24 -100% during 2017 to US$882 M (1) In connection with the penalty imposed by the Colombian Superintendence of Industry and Commerce, an accounting provision was created in December 2017, affecting our Controlling Interest Net Income in 4Q17. The cash outflow for this matter took place on January 5, 2018, when the fine was paid. For purposes of the table above, the expense and the account payable 22 are presented net.
GUIDANCE 4 Q 1 7 R e s u l t s
||2018 Guidance Volume YoY% Consolidated volumes in 2018 Cement Ready—Mix Aggregates expected to: Colombia 0% 1% 0%—Remain flat in cement—Grow by 2% in ready-mix and aggregates Cement Ready—Mix Aggregates Panama Maintenance and Strategic 1% 7% 8% Capex in 2018 are expected to be about US$50 M and US$5 M, respectively Cement Ready—Mix Aggregates Costa Rica 3% (2%) 12% Consolidated Cash taxes are expected to be at US$75 M 24
||Consolidated debt maturity profile US $927 Million 585 Total debt as of December 31, 2017 2.8x Net Debt/EBITDA US$ Million as of December 31, 2017 342 2018 2023 25
RESULTS 4Q17 F e b r u a r y 8 , 2 0 1 8