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 April, 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):

 

 

 

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Contents

 

1.		Press release, dated April 26, 2018, announcing first quarter 2018 results for CEMEX, S.A.B. de C.V. (NYSE: CX).
2.		First quarter 2018 results for CEMEX, S.A.B. de C.V. (NYSE: CX).
3.		Presentation regarding first quarter 2018 results for CEMEX, S.A.B. de C.V. (NYSE: CX).

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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:		April 26, 2018						By:		/s/ Rafael Garza
										Name: Rafael Garza
										Title: Chief Comptroller

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EXHIBIT INDEX

 

EXHIBIT NO.		DESCRIPTION
1.		Press release, dated April 26, 2018, announcing first quarter 2018 results for CEMEX, S.A.B. de C.V. (NYSE:CX).
2.		First quarter 2018 results for CEMEX, S.A.B. de C.V. (NYSE:CX).
3.		Presentation regarding first quarter 2018 results for CEMEX, S.A.B. de C.V. (NYSE:CX).

Exhibit 1

 

Media Relations Jorge Pérez +52(81) 8888-4334 mr@cemex.com		Investor Relations Eduardo Rendón +52(81) 8888-4256 ir@cemex.com		Analyst Relations Lucy Rodriguez +1(212) 317-6007 ir@cemex.com

 

CEMEX REPORTS FLAT OPERATING EBITDA ADJUSTED FOR

SEASONAL EFFECTS DURING THE FIRST QUARTER OF 2018

 

•

Operating EBITDA during 1Q18, adjusted for fewer business days and an inventory costing-variation effect, remained flat on a year-over-year basis.

 

•

Adverse weather conditions in Europe and the U.S. also affected volumes for our products and EBITDA generation during 1Q18.

 

•

Operating EBITDA decreased by 4% during the first quarter of 2018 to US$535 million versus the same period in 2017.

MONTERREY, MEXICO, APRIL 26, 2018– CEMEX, S.A.B. de C.V. (“CEMEX”) (NYSE: CX), announced today that consolidated net sales increased by 8% during the first quarter of 2018 to US$3.4 billion versus the comparable period in 2017.

CEMEX’s Consolidated First-Quarter 2018 Financial and Operational Highlights

 

•

The increase in quarterly consolidated net sales was due to higher prices of our products, in local currency terms in Mexico, the U.S. and our Europe and Asia, Middle East and Africa regions, as well as higher volumes in our U.S. and our Asia, Middle East & Africa regions.

 

•

Operating earnings before other expenses, net, in the first quarter decreased by 5%, to US$332 million.

 

•

Controlling interest net income during the quarter was US$26 million from an income of US$336 million in the same period of 2017.

 

•

Operating EBITDA decreased by 4% during the quarter compared to the same period in 2017, to US$535 million.

 

•

Operating EBITDA margin during the quarter decreased to 15.8% from 17.7% in the same period of 2017.

 

•

Free cash flow after maintenance capital expenditures for the quarter decreased by 1% to negative US$154 million, compared to the same quarter of 2017.

Fernando A. Gonzalez, Chief Executive Officer of CEMEX, said: “The first quarter of 2018 was characterized by solid operating results with good consolidated daily volumes and improved pricing performance, both sequentially and on a year-over-year basis. However, our EBITDA generation during the quarter was affected by seasonal effects, including adverse weather in our European and U.S.

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operations, fewer business days and an inventory costing-variation effect. We expect the impact of the fewer business days and the inventory effect to revert in upcoming months while we should recover most of the pent-up demand caused by adverse weather to be recovered during the rest of the year.

For the rest of 2018, we expect favorable consolidated volumes and improving pricing dynamics in most of our markets. This, together with an expected moderation in our energy cost increases and our initiatives to contain other costs, should translate into increased operating EBITDA generation for the full year.”

Consolidated Corporate Results

During the first quarter of 2018, controlling interest net income was US$26 million, versus an income of US$336 million in the same period last year.

Total debt plus perpetual notes increased by US$3 million during the quarter.

Geographical Markets First-Quarter 2018 Highlights

Net sales in our operations in Mexico increased 10% in the first quarter of 2018 to US$800 million, compared with US$725 million in the first quarter of 2017. Operating EBITDA increased by 12% to US$299 million in the quarter, versus the same period of last year.

CEMEX’s operations in the United States reported net sales of US$856 million in the first quarter of 2018, an increase of 7% on a like-to-like basis from the same period in 2017. Operating EBITDA decreased by 4% on a like-to-like basis to US$109 million versus the same quarter of 2017.

CEMEX’s operations in South, Central America and the Caribbean reported net sales of US$464 million during the first quarter of 2018, representing a decrease of 3% over the same period of 2017. Operating EBITDA decreased by 21% to US$105 million in the first quarter of 2018, from US$133 million in the same quarter of 2017.

In Europe, net sales for the first quarter of 2018 increased by 9% to US$805 million, compared with US$737 million in the first quarter of 2017. Operating EBITDA was US$15 million for the quarter, 52% lower than the same period last year.

Operations in Asia, Middle East and Africa reported a 15% increase in net sales for the first quarter of 2018, to US$375 million, versus the same quarter of 2017. Operating EBITDA for the quarter was US$62 million, 3% lower than the same period last year.

CEMEX is a global building materials company that provides high quality products and reliable service to customers and communities in more than 50 countries. CEMEX has a rich history of improving the well-being of those it serves through innovative building solutions, efficiency advancements, and efforts to promote a sustainable future.

###

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 CEMEX 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 CEMEX 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 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. CEMEX assumes no obligation to update or correct the information contained in this press release.

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Operating EBITDA is defined as operating income 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). Net debt is defined as total debt minus the fair value of cross-currency swaps associated with debt minus cash and cash equivalents. The Consolidated Funded Debt to Operating EBITDA ratio is calculated by dividing Consolidated Funded Debt at the end of the quarter by Operating EBITDA for the last twelve months. All of the above items are presented under the guidance of 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 CEMEX believes that they are widely accepted as financial indicators of CEMEX’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 CEMEX’s financial performance, as alternatives to cash flow, as measures of liquidity or as being comparable to other similarly titled measures of other companies.

 

Exhibit 2

 

 

2018

FIRST QUARTER RESULTS

◾ Stock Listing Information

NYSE (ADS)

Ticker: CX

Mexican Stock Exchange

Ticker: CEMEXCPO

Ratio of CEMEXCPO to CX = 10:1

◾ Investor Relations

In the United States:

+ 1 877 7CX NYSE

In Mexico:

+ 52 (81) 8888 4292

E-Mail:

ir@cemex.com

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Operating and financial highlights

 

 

		January - March																First Quarter
														l-t-l																l-t-l
		2018				2017				% var				% var				2018				2017				% var				% var
Consolidated cement volume			16,142				15,932				1	%							16,142				15,932				1	%
Consolidated ready-mix volume			12,224				12,229				(0	%)							12,224				12,229				(0	%)
Consolidated aggregates volume			33,402				33,910				(1	%)							33,402				33,910				(1	%)
Net sales			3,381				3,142				8	%			2	%			3,381				3,142				8	%			2	%
Gross profit			1,074				1,012				6	%			1	%			1,074				1,012				6	%			1	%
as % of net sales			31.8	%			32.2	%			(0.4	pp)							31.8	%			32.2	%			(0.4	pp)
Operating earnings before other expenses, net			332				351				(5	%)			(6	%)			332				351				(5	%)			(6	%)
as % of net sales			9.8	%			11.2	%			(1.4	pp)							9.8	%			11.2	%			(1.4	pp)
Controlling interest net income (loss)			26				336				(92	%)							26				336				(92	%)
Operating EBITDA			535				557				(4	%)			(6	%)			535				557				(4	%)			(6	%)
as % of net sales			15.8	%			17.7	%			(1.9	pp)							15.8	%			17.7	%			(1.9	pp)
Free cash flow after maintenance capital expenditures			(154	)			(152	)			(1	%)							(154	)			(152	)			(1	%)
Free cash flow			(162	)			(181	)			10	%							(162	)			(181	)			10	%
Total debt plus perpetual notes			11,352				12,603				(10	%)							11,352				12,603				(10	%)
Earnings (loss) of continuing operations per ADS			0.02				0.12				(86	%)							0.02				0.12				(86	%)
Fully diluted earnings (loss) of continuing operations per ADS (1)			0.02				0.14				(87	%)							0.02				0.14				(87	%)
Average ADSs outstanding			1,540.2				1,490.5				3	%							1,540.2				1,490.5				3	%
Employees			40,647				40,550				0	%							40,647				40,550				0	%

This information does not include discontinued operations. Please see page 15 on this report for additional information.

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-ADS amounts. Average ADSs outstanding are presented in millions.

Please refer to page 7 for end-of quarter CPO-equivalent units outstanding.

 

(1)	For the period January-March 2018, the effect of the potential dilutive shares generates anti-dilution; therefore, there is no change between the reported basic and diluted loss per share.

 

 

2018 First Quarter Results		Page 2

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Operating results

 

Mexico

 

		January - March																First Quarter
		2018				2017				% var				l-t-l % var				2018				2017				% var				l-t-l % var
Net sales			800				725				10	%			3	%			800				725				10	%			3	%
Operating EBITDA			299				267				12	%			5	%			299				267				12	%			5	%
Operating EBITDA margin			37.3	%			36.8	%			0.5pp								37.3	%			36.8	%			0.5pp

In millions of US dollars, except percentages.

 

		Domestic gray cement								Ready-mix								Aggregates
Year-over-year percentage variation		January - March				First Quarter				January - March				First Quarter				January - March				First Quarter
Volume			(4	%)			(4	%)			5	%			5	%			8	%			8	%
Price (USD)			12	%			12	%			17	%			17	%			12	%			12	%
Price (local currency)			5	%			5	%			10	%			10	%			5	%			5	%

In Mexico, daily sales volumes for domestic gray cement decreased by 1% during the first quarter of 2018, while daily sales volumes for ready mix and aggregates increased by 8% and 11%, respectively. Both domestic gray cement and ready-mix prices increased on a sequential basis by 2% during the quarter. Year-over-year prices for domestic gray cement and ready-mix increased by 5% and 10%, respectively.

Our decrease in cement volume during the first quarter was mainly due to a high base of comparison versus the same period in 2017, when several infrastructure projects were under construction as well as volumes related to last year’s electoral cycle. Our increase in ready-mix volumes reflects favorable activity in formal housing as well as local government projects. The formal residential sector was the main driver for cement consumption during the first quarter. The self-construction moderated its growth during the quarter. Regarding infrastructure activity, our volumes to this sector declined during the first quarter reflecting lower budgetary investment as well as a high base of comparison in the first quarter of 2017.

United States

 

		January - March																First Quarter
		2018				2017				% var				l-t-l % var				2018				2017				% var				l-t-l % var
Net sales			856				815				5	%			7	%			856				815				5	%			7	%
Operating EBITDA			109				117				(6	%)			(4	%)			109				117				(6	%)			(4	%)
Operating EBITDA margin			12.8	%			14.4	%			(1.6	pp)							12.8	%			14.4	%			(1.6	pp)

In millions of US dollars, except percentages.

 

		Domestic gray cement								Ready-mix								Aggregates
Year-over-year percentage variation		January - March				First Quarter				January - March				First Quarter				January - March				First Quarter
Volume			4	%			4	%			8	%			8	%			5	%			5	%
Price (USD)			2	%			2	%			1	%			1	%			4	%			4	%
Price (local currency)			2	%			2	%			1	%			1	%			4	%			4	%

In the United States, our domestic gray cement, ready-mix and aggregates volumes increased by 4%, 8%, and 5%, respectively, during the first quarter of 2018 compared to the same period last year. On a like-to-like basis, excluding volumes related to the Fairborn cement plant, domestic gray cement volumes increased by 5% year-over-year. On a like-to-like basis, domestic gray cement, ready-mix, and aggregates prices increased by 3%, 1%, and 4%, respectively, year-over-year.

Our year-over-year volume performance was driven largely by solid demand in our western states. Residential activity remained the key driver of demand, with housing starts increasing 8% year-over-year, with both single and multi-family starts expanding 7% and 10%, respectively. In the industrial-and-commercial sector, construction spending is up 3% year-to-date February with strength in lodging and commerce. On the infrastructure sector, while spending is flat year-to-date February, the increase in streets-and-highways contract awards during 2017 is 8%.

 

2018 First Quarter Results		Page 3

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Operating results

 

 

South, Central America and the Caribbean

 

		January - March																First Quarter
		2018				2017				% var				l-t-l % var				2018				2017				% var				l-t-l % var
Net sales			464				480				(3	%)			(7	%)			464				480				(3	%)			(7	%)
Operating EBITDA			105				133				(21	%)			(23	%)			105				133				(21	%)			(23	%)
Operating EBITDA margin			22.6	%			27.8	%			(5.2	pp)							22.6	%			27.8	%			(5.2	pp)

In millions of US dollars, except percentages.

 

		Domestic gray cement								Ready-mix								Aggregates
Year-over-year percentage variation		January - March				First Quarter				January - March				First Quarter				January - March				First Quarter
Volume			(1	%)			(1	%)			(12	%)			(12	%)			(5	%)			(5	%)
Price (USD)			1	%			1	%			(0	%)			(0	%)			(6	%)			(6	%)
Price (local currency)			1	%			1	%			(1	%)			(1	%)			(6	%)			(6	%)

In our South, Central America and Caribbean region, our domestic gray cement, ready-mix and aggregated volumes decreased by 1%, 12%, and 5%, respectively during the first quarter of 2018 and compared to the same period last year. On a like-to-like basis, including the regional operations of TCL during the full first quarter of 2017, our daily domestic gray cement, ready-mix and aggregates volumes decreased 4%, 10%, and 5%, respectively, during the quarter. Cement volumes increased in Costa Rica, El Salvador, and Puerto Rico, while ready-mix volumes improved in Costa Rica and Guatemala. On a like-to-like basis and in local-currency terms, our cement and ready-mix prices in the region increased by 4% sequentially, reflecting higher prices in all countries with the exception of Panama.

In Colombia, during the first quarter, our daily cement and ready-mix volumes declined by 9% and 14%, respectively. Cement consumption during the quarter was affected by the weak demand environment. On a sequential basis, quarterly cement prices increased by 3%, in local-currency terms, and by 10 % in US-dollar terms.

Europe

 

		January - March																First Quarter
		2018				2017				% var				l-t-l % var				2018				2017				% var				l-t-l % var
Net sales			805				737				9	%			(5	%)			805				737				9	%			(5	%)
Operating EBITDA			15				32				(52	%)			(55	%)			15				32				(52	%)			(55	%)
Operating EBITDA margin			1.9	%			4.4	%			(2.5	pp)							1.9	%			4.4	%			(2.5	pp)

In millions of US dollars, except percentages.

 

		Domestic gray cement								Ready-mix								Aggregates
Year-over-year percentage variation		January - March				First Quarter				January - March				First Quarter				January - March				First Quarter
Volume			(2	%)			(2	%)			(10	%)			(10	%)			(10	%)			(10	%)
Price (USD)			16	%			16	%			19	%			19	%			16	%			16	%
Price (local currency)			1	%			1	%			3	%			3	%			2	%			2	%

In the Europe region, our daily domestic gray cement, ready-mix and aggregates volumes decreased 2%, 8%, and 9%, respectively, during the first quarter of 2018 on a year-over-year basis.

In the United Kingdom, daily sales volumes for domestic gray cement, ready-mix and aggregates decreased 3%, 9% and 8%, respectively, during the first quarter of 2018, compared with the same period last year. The volume decline is mainly due to the impact of adverse weather conditions. Residential and infrastructure activity were the main drivers of cement demand.

In Spain, our daily domestic gray cement and ready-mix volumes increased 5% and 14%, respectively, while daily aggregates volumes decreased 3%, during the quarter, on a year-over-year basis. Improved cement demand during the quarter reflects favorable activity in the residential sector, supported by favorable credit conditions, job creation, and pent-up housing demand. The non-residential sector, continued its positive trend driven by growth in tourism, offices and industrial activity.

 

2018 First Quarter Results		Page 4

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Operating results

 

In Germany, our daily domestic gray cement volumes increased by 1%, while ready-mix and aggregates volumes declined by 10%, and 16%, respectively, during the first quarter of 2018 compared with the same period of last year. Adverse weather conditions impacted volume growth for our products during the quarter. Construction activity continues to be favorable across all sectors, although high demand has translated into supply constraints.

In Poland, daily domestic gray cement and ready-mix volumes decreased 1% and 13%, respectively, while our daily aggregates volume increased 7%, during the first quarter versus the comparable period in 2017. Our cement and ready-mix prices increased by 4% and 9%, respectively, during the quarter on a year-over-year basis. Lower cement and ready-mix volumes during the quarter were mainly due to a higher base of comparison as well as adverse weather conditions.

In our operations in France, daily ready-mix and aggregates volumes decreased by 9% and 8%, respectively, during the first quarter and on a year-over-year basis. This higher-than-industry declines are due to our strong presence in the Paris area were adverse weather conditions affected demand during January and February. The residential and infrastructure sectors were the main drivers of demand during the quarter.

Asia, Middle East and Africa

 

		January - March																First Quarter
		2018				2017				% var				l-t-l % var				2018				2017				% var				l-t-l % var
Net sales			375				326				15	%			13	%			375				326				15	%			13	%
Operating EBITDA			62				64				(3	%)			(3	%)			62				64				(3	%)			(3	%)
Operating EBITDA margin			16.5	%			19.6	%			(3.1pp	)							16.5	%			19.6	%			(3.1pp	)

In millions of US dollars, except percentages.

 

		Domestic gray cement								Ready-mix								Aggregates
Year-over-year percentage variation		January - March				First Quarter				January - March				First Quarter				January - March				First Quarter
Volume			21	%			21	%			4	%			4	%			(2	%)			(2	%)
Price (USD)			(3	%)			(3	%)			9	%			9	%			9	%			9	%
Price (local currency)			(1	%)			(1	%)			4	%			4	%			3	%			3	%

Our daily domestic gray cement volumes in the Asia, Middle East and Africa region increased by 24% during the first quarter of 2018, on a year-over-year basis.

In the Philippines, our domestic gray cement volumes increased 16% during the first quarter of 2018, versus the comparable period of last year. Our increase in cement volumes during the first quarter was supported by improved infrastructure activity, favorable weather conditions, as well as a low base of comparison versus the first quarter of 2017. During the quarter, we increased our domestically-produced cement and increased our dispatched volumes reflecting the initial progress of our debottlenecking efforts. The residential and industrial-and-commercial sectors continue to perform well.

In Egypt, our domestic gray cement volumes increased 31% during the first quarter of 2018, versus the comparable period of the previous year. Our volume increase was mainly due to a low base of comparison in first quarter 2017, which was heavily affected by adverse weather conditions after the devaluation of the Egyptian pound. In addition, there were higher dispatches to Lower Egypt as a result of the temporary stoppage of two cement plants in the Sinai region.

 

2018 First Quarter Results		Page 5

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Operating EBITDA, free cash flow and debt-related information

 

Operating EBITDA and free cash flow

 

		January - March												First Quarter
		2018				2017				% var				2018				2017				% var
Operating earnings before other expenses, net			332				351				(5	%)			332				351				(5	%)
+ Depreciation and operating amortization			203				207								203				207
Operating EBITDA			535				557				(4	%)			535				557				(4	%)
- Net financial expense			173				224								173				224
- Maintenance capital expenditures			78				58								78				58
- Change in working capital			361				371								361				371
- Taxes paid			50				49								50				49
- Other cash items (net)			26				12								26				12
- Free cash flow discontinued operations			—				(5	)							—				(5	)
Free cash flow after maintenance capital expenditures			(154	)			(152	)			(1	%)			(154	)			(152	)			(1	%)
- Strategic capital expenditures			9				28								9				28
Free cash flow			(162	)			(181	)			10	%			(162	)			(181	)			10	%

 

In millions of US dollars, except percentages.

During the quarter, we redeemed the full outstanding principal amount of our €400 million 4.750% senior secured notes due 2022 and our US$341 million 7.250% senior secured notes due 2021. In addition, we repaid the full outstanding principal amount of our 3.750% subordinated convertible notes due 2018 that did not convert at its stated maturity (March 2018). To fund the payment of these senior secured notes, convertible notes and the free cash flow deficit during the quarter, we used the US$350 million cash reserve created in December 2017 (to pay the senior secured notes), withdrew the remaining US$377 million under a term loan in our Credit Agreement, and used a portion of our revolving credit facility.

Our total debt plus perpetual notes during the quarter reflects a negative foreign exchange conversion effect of US$79 million.

Information on debt and perpetual notes

 

														Fourth Quarter
		First Quarter																		First Quarter
		2018				2017				% var				2017						2018				2017
Total debt (1)			10,902				12,164				(10	%)			10,901			Currency denomination
Short-term			4	%			7	%							12	%		US dollar			66	%			74	%
Long-term			96	%			93	%							88	%		Euro			26	%			22	%
Perpetual notes			450				439				2	%			448			Mexican peso			0	%			1	%
Total debt plus perpetual notes			11,352				12,603				(10	%)			11,349			Other			7	%			3	%
Cash and cash equivalents			313				438				(29	%)			699
Net debt plus perpetual notes			11,039				12,165				(9	%)			10,650			Interest rate
																		Fixed			59	%			74	%
Consolidated funded debt (CFD) (2)			10,802				11,258								9,981			Variable			41	%			26	%
CFD (2) / EBITDA (3)			4.22				4.07								3.85
Interest coverage (3) (4)			3.85				3.30								3.46

In millions of US dollars, except percentages and ratios.

 

(1)	Includes convertible notes and capital leases, in accordance with International Financial Reporting Standards (IFRS).

(2)	Consolidated funded debt, in accordance with our contractual obligations under the Credit Agreement.

(3)	EBITDA calculated in accordance with IFRS.

(4)	Interest expense calculated in accordance with our contractual obligations under the Credit Agreement.

 

2018 First Quarter Results		Page 6

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Equity-related and derivative instruments information

 

Equity-related information

One CEMEX ADS represents ten CEMEX CPOs. The following amounts are expressed in CPO terms

 

Beginning-of-quarter CPO-equivalent units outstanding			15,086,693,679
Early conversion of 2020 Convertible Notes			910
End-of-quarter CPO-equivalent units outstanding			15,086,694,589

Outstanding units equal total CEMEX CPO-equivalent units less CPOs held in subsidiaries, which as of March 31, 2017 were 20,541,277.

CEMEX also has outstanding mandatorily convertible securities which, upon conversion, will increase the number of CPOs outstanding by approximately 236 million, subject to antidilution adjustments.

Employee long-term compensation plans

As of March 31, 2018, our executives held 28,790,539 restricted CPOs, representing 0.2% of our total CPOs outstanding as of such date.

Derivative instruments

The following table shows the notional amount for each type of derivative instrument and the aggregate fair market value for all of CEMEX’s derivative instruments as of the last day of each quarter presented.

 

		First Quarter																Fourth Quarter
		2018								2017								2017
In millions of US dollars.		Notional Amount				Fair Value				Notional Amount				Fair Value				Notional Amount				Fair Value
Exchange rate derivatives (1)			1,216				(55	)			639				(22	)			1,541				50
Equity related derivatives (2) (5)			168				1				461				36				168				(13	)
Interest rate swaps (3)			137				15				147				22				137				16
Fuel derivatives (4)			67				14				78				7				72				20
			1,588				(25	)			1,325				43				1,918				73

 

(1)	Exchange rate derivatives are used to manage currency exposures that arise from the regular operations and from forecasted transactions.

(2)	Until June 30, 2017 equity derivatives were related with options on the Parent Company own shares and as of March 31, 2018 to forwards, net of cash collateral, over the shares of Grupo Cementos de Chihuahua, S.A.B. de C.V.

(3)	Interest-rate swap related to our long-term energy contracts.

(4)	Forward contracts negotiated to hedge the price of the fuel consumed in certain operations.

(5)	As required by IFRS, the equity related derivatives fair market value as of March 31, 2018 and 2017 includes a liability of US$6 million and of US$41 million, respectively, relating to an embedded derivative in CEMEX’s mandatorily convertible securities.

Under IFRS, companies are required to recognize all derivative financial instruments on the balance sheet as assets or liabilities, at their estimated fair market value, with changes in such fair market values recorded in the income statement, except when transactions are entered into for cash-flow-hedging purposes, in which case changes in the fair market value of the related derivative instruments are recognized temporarily in equity and then reclassified into earnings as the inverse effects of the underlying hedged items flow through the income statement, and/or transactions related to net investment hedges, in which case changes in fair value are recorded directly in equity as part of the currency translation effect, and are reclassified to the income statement only upon disposal of the net investment. As of March 31, 2018, in connection with the fair market value recognition of its derivatives portfolio, CEMEX recognized increases in its assets and liabilities resulting in a net liability of US$25 million, including a liability of US$6 million corresponding to an embedded derivative related to our mandatorily convertible securities, which according to our debt agreements, is presented net of the assets associated with the derivative instruments.

 

2018 First Quarter Results		Page 7

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Operating results

 

Consolidated Income Statement & Balance Sheet

CEMEX, S.A.B. de C.V. and Subsidiaries

(Thousands of U.S. Dollars, except per ADS amounts)

 

		January - March																First Quarter
														like-to-like																like-to-like
INCOME STATEMENT		2018				2017				% var				% var				2018				2017				% var				% var
Net sales			3,380,543				3,142,147				8	%			2	%			3,380,543				3,142,147				8	%			2	%
Cost of sales			(2,306,823	)			(2,130,471	)			(8	%)							(2,306,823	)			(2,130,471	)			(8	%)
Gross profit			1,073,720				1,011,676				6	%			1	%			1,073,720				1,011,676				6	%			1	%
Operating expenses			(741,559	)			(661,141	)			(12	%)							(741,559	)			(661,141	)			(12	%)
Operating earnings before other expenses, net			332,161				350,535				(5	%)			(6	%)			332,161				350,535				(5	%)			(6	%)
Other expenses, net			1,757				139,690				(99	%)							1,757				139,690				(99	%)
Operating earnings			333,917				490,226				(32	%)							333,917				490,226				(32	%)
Financial expense			(186,170	)			(268,587	)			31	%							(186,170	)			(268,587	)			31	%
Other financial income (expense), net			(56,687	)			23,969				N/A								(56,687	)			23,969				N/A
Financial income			4,739				4,762				(0	%)							4,739				4,762				(0	%)
Results from financial instruments, net			33,792				97,776				(65	%)							33,792				97,776				(65	%)
Foreign exchange results			(82,141	)			(65,795	)			(25	%)							(82,141	)			(65,795	)			(25	%)
Effects of net present value on assets and liabilities and others, net			(13,078	)			(12,774	)			(2	%)							(13,078	)			(12,774	)			(2	%)
Equity in gain (loss) of associates			1,678				1,878				(11	%)							1,678				1,878				(11	%)
Income (loss) before income tax			92,738				247,486				(63	%)							92,738				247,486				(63	%)
Income tax			(52,919	)			(45,258	)			(17	%)							(52,919	)			(45,258	)			(17	%)
Profit (loss) of continuing operations			39,819				202,229				(80	%)							39,819				202,229				(80	%)
Discontinued operations			(0	)			152,781				N/A								(0	)			152,781				N/A
Consolidated net income (loss)			39,819				355,009				(89	%)							39,819				355,009				(89	%)
Non-controlling interest net income (loss)			13,859				19,105				(27	%)							13,859				19,105				(27	%)
Controlling interest net income (loss)			25,960				335,904				(92	%)							25,960				335,904				(92	%)
Operating EBITDA			534,855				557,344				(4	%)			(6	%)			534,855				557,344				(4	%)			(6	%)
Earnings (loss) of continued operations per ADS			0.02				0.12				(86	%)							0.02				0.12				(86	%)
Earnings (loss) of discontinued operations per ADS			(0.00	)			0.10				N/A								(0.00	)			0.10				N/A

		As of March 31
BALANCE SHEET		2018				2017				% var
Total assets			29,108,909				29,135,850				(0	%)
Cash and cash equivalents			313,041				438,010				(29	%)
Trade receivables less allowance for doubtful accounts			1,716,973				1,662,908				3	%
Other accounts receivable			221,859				304,708				(27	%)
Inventories, net			1,017,816				1,005,311				1	%
Assets held for sale			77,742				405,826				(81	%)
Other current assets			195,915				206,415				(5	%)
Current assets			3,543,346				4,023,179				(12	%)
Property, machinery and equipment, net			12,020,284				11,650,802				3	%
Other assets			13,545,278				13,461,869				1	%
Total liabilities			18,143,583				19,052,988				(5	%)
Liabilities held for sale			—				26,963				(100	%)
Other current liabilities			4,836,248				4,680,106				3	%
Current liabilities			4,836,248				4,707,069				3	%
Long-term liabilities			9,823,233				10,691,136				(8	%)
Other liabilities			3,484,101				3,654,783				(5	%)
Total stockholder’s equity			10,965,326				10,082,862				9	%
Non-controlling interest and perpetual instruments			1,566,093				1,448,083				8	%
Total controlling interest			9,399,233				8,634,779				9	%

 

2018 First Quarter Results				Page 8

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Operating results

Consolidated Income Statement & Balance Sheet

CEMEX, S.A.B. de C.V. and Subsidiaries

(Thousands of Mexican Pesos in nominal terms, except per ADS amounts)

 

		January - March												First Quarter
INCOME STATEMENT		2018				2017				% var				2018				2017				% var
Net sales			62,810,484				62,497,307				1	%			62,810,484				62,497,307				1	%
Cost of sales			(42,860,772	)			(42,375,074	)			(1	%)			(42,860,772	)			(42,375,074	)			(1	%)
Gross profit			19,949,712				20,122,234				(1	%)			19,949,712				20,122,234				(1	%)
Operating expenses			(13,778,164	)			(13,150,087	)			(5	%)			(13,778,164	)			(13,150,087	)			(5	%)
Operating earnings before other expenses, net			6,171,548				6,972,147				(11	%)			6,171,548				6,972,147				(11	%)
Other expenses, net			32,638				2,778,442				(99	%)			32,638				2,778,442				(99	%)
Operating earnings			6,204,186				9,750,589				(36	%)			6,204,186				9,750,589				(36	%)
Financial expense			(3,459,033	)			(5,342,198	)			35	%			(3,459,033	)			(5,342,198	)			35	%
Other financial income (expense), net			(1,053,247	)			476,751				N/A				(1,053,247	)			476,751				N/A
Financial income			88,055				94,722				(7	%)			88,055				94,722				(7	%)
Results from financial instruments, net			627,860				1,944,764				(68	%)			627,860				1,944,764				(68	%)
Foreign exchange results			(1,526,181	)			(1,308,662	)			(17	%)			(1,526,181	)			(1,308,662	)			(17	%)
Effects of net present value on assets and liabilities and others, net			(242,981	)			(254,073	)			4	%			(242,981	)			(254,073	)			4	%
Equity in gain (loss) of associates			31,174				37,358				(17	%)			31,174				37,358				(17	%)
Income (loss) before income tax			1,723,079				4,922,500				(65	%)			1,723,079				4,922,500				(65	%)
Income tax			(983,237	)			(900,175	)			(9	%)			(983,237	)			(900,175	)			(9	%)
Profit (loss) of continuing operations			739,842				4,022,326				(82	%)			739,842				4,022,326				(82	%)
Discontinued operations			(0	)			3,038,805				N/A				(0	)			3,038,805				N/A
Consolidated net income (loss)			739,842				7,061,131				(90	%)			739,842				7,061,131				(90	%)
Non-controlling net income (loss)			257,500				379,995				(32	%)			257,500				379,995				(32	%)
Controlling net income (loss)			482,341				6,681,135				(93	%)			482,341				6,681,135				(93	%)
Operating EBITDA			9,937,599				11,085,570				(10	%)			9,937,599				11,085,570				(10	%)
Earnings (loss) of continued operations per ADS			0.33				2.46				(87	%)			0.33				2.46				(87	%)
Earnings (loss) of discontinued operations per ADS			(0.00	)			2.04				N/A				(0.00	)			2.04				N/A

		As of March 31
BALANCE SHEET		2018				2017				% var
Total assets			532,984,117				545,714,470				(2	%)
Cash and cash equivalents			5,731,786				8,203,936				(30	%)
Trade receivables less allowance for doubtful accounts			31,437,770				31,146,267				1	%
Other accounts receivable			4,062,238				5,707,183				(29	%)
Inventories, net			18,636,205				18,829,484				(1	%)
Assets held for sale			1,423,459				7,601,129				(81	%)
Other current assets			3,587,209				3,866,151				(7	%)
Current assets			64,878,667				75,354,149				(14	%)
Property, machinery and equipment, net			220,091,406				218,219,521				1	%
Other assets			248,014,044				252,140,800				(2	%)
Total liabilities			332,209,001				356,862,465				(7	%)
Liabilities held for sale			—				505,013				(100	%)
Other current liabilities			88,551,709				87,658,388				1	%
Current liabilities			88,551,709				88,163,400				0	%
Long-term liabilities			179,863,404				200,244,984				(10	%)
Other liabilities			63,793,888				68,454,080				(7	%)
Total stockholders’ equity			200,775,116				188,852,005				6	%
Non-controlling interest and perpetual instruments			28,675,154				27,122,591				6	%
Total controlling interest			172,099,962				161,729,414				6	%

 

2018 First Quarter Results				Page 9

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Operating results

 

Operating Summary per Country

In thousands of U.S. dollars

 

		January - March																First Quarter
NET SALES		2018				2017				% var				like-to-like % var				2018				2017				% var				like-to-like % var
Mexico			800,035				725,365				10	%			3	%			800,035				725,365				10	%			3	%
U.S.A.			855,521				814,578				5	%			7	%			855,521				814,578				5	%			7	%
South, Central America and the Caribbean			463,995				479,710				(3	%)			(7	%)			463,995				479,710				(3	%)			(7	%)
Europe			804,950				736,593				9	%			(5	%)			804,950				736,593				9	%			(5	%)
Asia, Middle East and Africa			375,111				326,014				15	%			13	%			375,111				326,014				15	%			13	%
Others and intercompany eliminations			80,930				59,887				35	%			45	%			80,930				59,887				35	%			45	%
TOTAL			3,380,543				3,142,147				8	%			2	%			3,380,543				3,142,147				8	%			2	%
GROSS PROFIT
Mexico			436,744				376,731				16	%			8	%			436,744				376,731				16	%			8	%
U.S.A.			205,951				194,562				6	%			7	%			205,951				194,562				6	%			7	%
South, Central America and the Caribbean			166,005				187,713				(12	%)			(13	%)			166,005				187,713				(12	%)			(13	%)
Europe			154,633				149,007				4	%			(9	%)			154,633				149,007				4	%			(9	%)
Asia, Middle East and Africa			104,706				105,115				(0	%)			(1	%)			104,706				105,115				(0	%)			(1	%)
Others and intercompany eliminations			5,681				(1,452	)			N/A				N/A				5,681				(1,452	)			N/A				N/A
TOTAL			1,073,720				1,011,676				6	%			1	%			1,073,720				1,011,676				6	%			1	%
OPERATING EARNINGS BEFORE OTHER EXPENSES, NET
Mexico			270,095				238,426				13	%			6	%			270,095				238,426				13	%			6	%
U.S.A.			34,737				29,803				17	%			28	%			34,737				29,803				17	%			28	%
South, Central America and the Caribbean			82,986				111,489				(26	%)			(28	%)			82,986				111,489				(26	%)			(28	%)
Europe			(34,830	)			(12,335	)			(182	%)			(133	%)			(34,830	)			(12,335	)			(182	%)			(133	%)
Asia, Middle East and Africa			46,557				48,502				(4	%)			(5	%)			46,557				48,502				(4	%)			(5	%)
Others and intercompany eliminations			(67,385	)			(65,351	)			(3	%)			12	%			(67,385	)			(65,351	)			(3	%)			12	%
TOTAL			332,161				350,535				(5	%)			(6	%)			332,161				350,535				(5	%)			(6	%)

 

2018 First Quarter Results				Page 10

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Operating results

 

Operating Summary per Country

EBITDA in thousands of U.S. dollars. EBITDA margin as a percentage of net sales.

 

		January - March																First Quarter
OPERATING EBITDA		2018				2017				% var				like-to-like % var				2018				2017				% var				like-to-like % var
Mexico			298,614				267,063				12	%			5	%			298,614				267,063				12	%			5	%
U.S.A.			109,431				116,905				(6	%)			(4	%)			109,431				116,905				(6	%)			(4	%)
South, Central America and the Caribbean			104,720				133,286				(21	%)			(23	%)			104,720				133,286				(21	%)			(23	%)
Europe			15,429				32,464				(52	%)			(55	%)			15,429				32,464				(52	%)			(55	%)
Asia, Middle East and Africa			62,001				63,800				(3	%)			(3	%)			62,001				63,800				(3	%)			(3	%)
Others and intercompany eliminations			(55,342	)			(56,175	)			1	%			19	%			(55,342	)			(56,175	)			1	%			19	%
TOTAL			534,855				557,344				(4	%)			(6	%)			534,855				557,344				(4	%)			(6	%)
OPERATING EBITDA MARGIN
Mexico			37.3	%			36.8	%											37.3	%			36.8	%
U.S.A.			12.8	%			14.4	%											12.8	%			14.4	%
South, Central America and the Caribbean			22.6	%			27.8	%											22.6	%			27.8	%
Europe			1.9	%			4.4	%											1.9	%			4.4	%
Asia, Middle East and Africa			16.5	%			19.6	%											16.5	%			19.6	%
TOTAL			15.8	%			17.7	%											15.8	%			17.7	%

 

2018 First Quarter Results				Page 11

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Operating results

 

Volume Summary

Consolidated volume summary

Cement and aggregates: Thousands of metric tons.

Ready-mix: Thousands of cubic meters.

 

		January - March												First Quarter
		2018				2017				% var				2018				2017				% var
Consolidated cement volume (1)			16,142				15,932				1	%			16,142				15,932				1	%
Consolidated ready-mix volume			12,224				12,229				(0	%)			12,224				12,229				(0	%)
Consolidated aggregates volume			33,402				33,910				(1	%)			33,402				33,910				(1	%)

Per-country volume summary

 

DOMESTIC GRAY CEMENT VOLUME		January - March 2018 vs. 2017				First Quarter 2018 vs. 2017				First Quarter 2018 vs. Fourth Quarter 2017
Mexico			(4	%)			(4	%)			(5	%)
U.S.A.			4	%			4	%			(4	%)
South, Central America and the Caribbean			(1	%)			(1	%)			(2	%)
Europe			(2	%)			(2	%)			(20	%)
Asia, Middle East and Africa			21	%			21	%			3	%
READY-MIX VOLUME
Mexico			5	%			5	%			2	%
U.S.A.			8	%			8	%			1	%
South, Central America and the Caribbean			(12	%)			(12	%)			(5	%)
Europe			(10	%)			(10	%)			(20	%)
Asia, Middle East and Africa			4	%			4	%			(4	%)
AGGREGATES VOLUME
Mexico			8	%			8	%			(4	%)
U.S.A.			5	%			5	%			(3	%)
South, Central America and the Caribbean			(5	%)			(5	%)			(1	%)
Europe			(10	%)			(10	%)			(19	%)
Asia, Middle East and Africa			(2	%)			(2	%)			(7	%)

 

(1)	Consolidated cement volume includes domestic and export volume of gray cement, white cement, special cement, mortar and clinker.

 

2018 First Quarter Results				Page 12

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Operating results

 

Price Summary

Variation in U.S. Dollars

 

DOMESTIC GRAY CEMENT PRICE		January - March 2018 vs. 2017				First Quarter 2018 vs. 2017				First Quarter 2018 vs. Fourth Quarter 2017
Mexico			12	%			12	%			5	%
U.S.A.			2	%			2	%			(0	%)
South, Central America and the Caribbean (*)			1	%			1	%			5	%
Europe (*)			16	%			16	%			9	%
Asia, Middle East and Africa (*)			(3	%)			(3	%)			5	%
READY-MIX PRICE
Mexico			17	%			17	%			5	%
U.S.A.			1	%			1	%			1	%
South, Central America and the Caribbean (*)			(0	%)			(0	%)			7	%
Europe (*)			19	%			19	%			9	%
Asia, Middle East and Africa (*)			9	%			9	%			4	%
AGGREGATES PRICE
Mexico			12	%			12	%			9	%
U.S.A.			4	%			4	%			4	%
South, Central America and the Caribbean (*)			(6	%)			(6	%)			1	%
Europe (*)			16	%			16	%			12	%
Asia, Middle East and Africa (*)			9	%			9	%			8	%

Variation in Local Currency

 

DOMESTIC GRAY CEMENT PRICE		January - March 2018 vs. 2017				First Quarter 2018 vs. 2017				First Quarter 2018 vs. Fourth Quarter 2017
Mexico			5	%			5	%			2	%
U.S.A.			2	%			2	%			(0	%)
South, Central America and the Caribbean (*)			1	%			1	%			4	%
Europe (*)			1	%			1	%			4	%
Asia, Middle East and Africa (*)			(1	%)			(1	%)			6	%
READY-MIX PRICE
Mexico			10	%			10	%			2	%
U.S.A.			1	%			1	%			1	%
South, Central America and the Caribbean (*)			(1	%)			(1	%)			4	%
Europe (*)			3	%			3	%			5	%
Asia, Middle East and Africa (*)			4	%			4	%			4	%
AGGREGATES PRICE
Mexico			5	%			5	%			6	%
U.S.A.			4	%			4	%			4	%
South, Central America and the Caribbean (*)			(6	%)			(6	%)			(2	%)
Europe (*)			2	%			2	%			7	%
Asia, Middle East and Africa (*)			3	%			3	%			8	%

 

(*)	Volume weighted-average price.

 

2018 First Quarter Results				Page 13

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Other information

 

 

2018 First Quarter Results				Page 14

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Other information

 

 

2018 First Quarter Results				Page 15

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Definitions of terms and disclosures

 

Exchange rates		January - March								First Quarter								First Quarter
		2018				2017				2018				2017				2018				2017
		Average				Average				Average				Average				End of period				End of period
Mexican peso			18.58				19.89				18.58				19.89				18.31				18.73
Euro			0.8124				0.9391				0.8124				0.9391				0.813				0.938
British pound			0.7131				0.801				0.7131				0.8010				0.7131				0.7981

Amounts provided in units of local currency per US dollar.

 

2018 First Quarter Results				Page 16

Exhibit 3

 

2018 First Quarter Results Exupery International School and Kindergarten, Latvia

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This presentation contains forward-looking statements within the meaning of the U.S. federal securities laws. CEMEX, S.A.B. de C.V. and its direct and indirect subsidiaries (“CEMEX”) intends, but are not limited to, these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements in the U.S. federal securities laws. 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’s current expectations and projections about future events based on CEMEX’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 CEMEX’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 CEMEX or its subsidiaries, include, but are not limited to, the cyclical activity of the construction sector; CEMEX’s exposure to other sectors that impact CEMEX’s business, such as the energy sector; competition; general political, economic and business conditions in the markets in which CEMEX operates; the regulatory environment, including environmental, tax, antitrust and acquisition-related rules and regulations; CEMEX’s 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 existing indebtedness; the impact of CEMEX’s below investment grade debt rating on CEMEX’s cost of capital; CEMEX’s ability to consummate asset sales, fully integrate newly acquired businesses, achieve cost-savings from CEMEX’s cost-reduction initiatives and implement CEMEX’s global pricing initiatives for CEMEX’s products; the increasing reliance on information technology infrastructure for CEMEX’s sales 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 CEMEX’s public filings. Readers are urged to read these presentations and carefully consider the risks, uncertainties and other factors that affect CEMEX’s business. The information contained in these presentations is subject to change without notice, and CEMEX is not obligated to publicly update or revise forward-looking statements. Readers should review future reports filed by CEMEX with the U.S. Securities and Exchange Commission. Unless the context indicates otherwise, all references to pricing initiatives, price increases or decreases, refer to CEMEX’s prices for CEMEX’s products. UNLESS OTHERWISE NOTED, ALL FIGURES ARE PRESENTED IN DOLLARS, BASED ON INTERNATIONAL FINANCIAL REPORTING STANDARDS, AS APPLICABLE Copyright CEMEX, S.A.B. de C.V. and its subsidiaries 2

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Operating EBITDA adjusted for seasonal effects remained flat during 1Q18 EBITDA variation Operating EBITDA during 1Q18 adjusted for fewer business days and an inventory costing-variation effect remained flat on a 0% year-over-year basis; expect these seasonal -4% effects to reverse in upcoming months 557 11 558 535 12 Adverse weather conditions in our Europe and U.S. operations also affected volumes and EBITDA generation during 1Q18; anticipate most of pent-up demand to be recovered during rest of 2018 Higher energy prices continued to impact cost structure during quarter; expect increase in energy prices to moderate during rest of year 1Q17 1Q18 Business Inventory 1Q18 days costing adjusted variation variation Seasonal effects 3

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On a like-to-like basis, operating EBITDA declined 6% EBITDA variation Consolidated daily volumes for cement -4% and ready-mix increased by 3% and 1%, respectively, on a like-to-like basis while -6% daily aggregates volumes remained flat 56 Higher consolidated prices for our three core products on a year-over-year and on 1 559 10 557 a sequential basis; cement, ready-mix and 80 525 10 535 aggregates prices increased by 1%, 4% 20 and 2%, respectively, from 1Q17 levels in local-currency terms Daily net sales increased by 4%, while daily operating EBITDA declined by 4%, on a like-to-like basis    1Q17 Acq/ 1Q17 Vol. Price Var. Fixed 1Q18 FX 1Q18 Operating EBITDA mainly affected by Div1 l-t-l cost & cost & l-t-l seasonal effects and higher energy costs distr. other During 1Q18, operating EBITDA margin declined by 1.9pp Millions of U.S. dollars 1 Includes US$4 million from Trinidad Cement Limited (“TCL”) group, which CEMEX began consolidating starting February 2017, -US$3 million from the Fairborn cement plant divestment, which closed in February 4 2017

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Free cash flow reflects increased seasonal working-capital requirements which should reverse during rest of the year 535 Free cash flow Controlling interest net income -92% 336 173 78 26 361 50 26 -154 9 -162 EBITDA Net fin. Maint. WC Taxes Other1 FCF Stra- FCF 1Q17 1Q18 1Q18 Exp CapEx after tegic 1Q18 maint. CapEx CapEx Millions of U.S. dollars 1 Includes Other Cash Items plus Free Cash Flow Discontinued Operations 5

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Total debt plus perpetuals remained practically flat during the quarter Total debt plus perpetuals variation 0% 11,349 386 11,352 148 162 79 4Q17 Cash balance Debt FX effect FCF after Other 1Q18 variation strategic CapEx Millions of U.S. dollars 6

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First Quarter 2018 • Regional Highlights Therapeutic pools for the school La Esperanza, Puerto Rico

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Mexico l-t-l l-t-l Operating EBITDA increased by 5%, on a 3M18 3M17 % var % var 1Q18 1Q17 % var % var like-to-like basis during 1Q18, with a margin Net Sales 800 725 10% 3% 800 725 10% 3% expansion of 0.5pp Op. EBITDA 299 267 12% 5% 299 267 12% 5% Daily ready-mix volume improvement reflects favorable activity in formal housing as % net sales 37.3% 36.8% 0.5pp 37.3% 36.8% 0.5pp Millions of U.S. dollars Prices for our three core products increased during the quarter both on a year-over-year 3M18 vs. 3M17 1Q18 vs. 1Q17 1Q18 vs. 4Q17 and on a sequential basis Cement (4%) (4%) (5%) The formal residential sector was the main Volume Ready mix 5% 5% 2% driver for cement consumption during 1Q18 Aggregates 8% 8% (4%) The self-construction sector was sustained by sound economic indicators including remittances and solid job creation 3M18 vs. 3M17 1Q18 vs. 1Q17 1Q18 vs. 4Q17 The industrial-and-commercial sector, Cement 5% 5% 2% moderated its growth during 1Q18; however, Price (LC) Ready mix 10% 10% 2% it is expected to continue to be a driver for Aggregates 5% 5% 6% growth going forward 8

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United States l-t-l l-t-l Like-to-like EBITDA margin declined by 1.5 3M18 3M17 % var % var 1Q18 1Q17 % var % var percentage points, reflecting inventory Net Sales 856 815 5% 7% 856 815 5% 7% costing-variation effect, higher maintenance, Op. EBITDA 109 117 (6%) (4%) 109 117 (6%) (4%) geographic and product mix, and energy costs as % net sales 12.8% 14.4% (1.6pp) 12.8% 14.4% (1.6pp) Millions of U.S. dollars Cement volumes increased 5% during the quarter on a like-to-like basis, driven largely 3M18 vs. 3M17 1Q18 vs. 1Q17 1Q18 vs. 4Q17 by growth in our western states Cement 4% 4% (4%) Like-to-like cement, ready-mix and Volume Ready mix 8% 8% 1% aggregates prices increased 3%, 1% and Aggregates 5% 5% (3%) 4%, respectively, on a year-over-year basis Residential activity was the main driver of demand during the quarter; housing starts 3M18 vs. 3M17 1Q18 vs. 1Q17 1Q18 vs. 4Q17 increased 8% year-over-year with both single Cement 2% 2% (0%) and multi-family starts expanding Price (LC) Ready mix 1% 1% 1% In the industrial-and-commercial sector, Aggregates 4% 4% 4% construction spending increased 3% year-to-date February, driven by lodging and commercial activity 9

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South, Central America and the Caribbean l-t-l l-t-l On a like-to-like basis, regional daily cement, 3M18 3M17 % var % var 1Q18 1Q17 % var % var ready-mix and aggregates volumes Net Sales 464 480 (3%) (7%) 464 480 (3%) (7%) decreased by 4%, 10% and 5%, respectively Op. EBITDA 105 133 (21%) (23%) 105 133 (21%) (23%) Our regional cement prices in local-currency as % net sales 22.6% 27.8% (5.2pp) 22.6% 27.8% (5.2pp) terms during the quarter increased by 4% on Millions of U.S. dollars a sequential basis In Colombia, daily cement volumes declined 3M18 vs. 3M17 1Q18 vs. 1Q17 1Q18 vs. 4Q17 by 9% during 1Q18; sequential cement prices Cement (1%) (1%) (2%) increased by 3% Volume Ready mix (12%) (12%) (5%) Aggregates (5%) (5%) (1%) In Panama, our daily cement and ready-mix volumes declined by 17% and 9%, respectively, during the quarter affected by high inventories of apartments and office 3M18 vs. 3M17 1Q18 vs. 1Q17 1Q18 vs. 4Q17 buildings in Panama City as well as delays in Cement 1% 1% 4% the initiation of infrastructure projects Price (LC) Ready mix (1%) (1%) 4% Aggregates (6%) (6%) (2%) Volume-weighted, local-currency average prices 10

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Europe Decrease in quarterly regional volumes for our l-t-l l-t-l 3M18 3M17 % var % var 1Q18 1Q17 % var % var three core products mainly due to adverse weather conditions in many of our markets; Net Sales 805 737 9% (5%) 805 737 9% (5%) regional prices for our three core products up Op. EBITDA 15 32 (52%) (55%) 15 32 (52%) (55%) both sequentially and on a year-over-year basis as % net sales 1.9% 4.4% (2.5pp) 1.9% 4.4% (2.5pp) In the UK, daily volumes for domestic gray Millions of U.S. dollars cement, ready-mix and aggregates decreased 3%, 3M18 vs. 3M17 1Q18 vs. 1Q17 1Q18 vs. 4Q17 9%, and 8%, respectively, mainly due to adverse weather conditions Cement (2%) (2%) (20%) Volume Ready mix (10%) (10%) (20%) In Spain, daily domestic gray cement and ready-mix volumes increased 5% and 14%, respectively, Aggregates (10%) (10%) (19%) reflecting favorable demand from the residential and industrial-and-commercial sectors    3M18 vs. 3M17 1Q18 vs. 1Q17 1Q18 vs. 4Q17 In Germany, daily domestic gray cement volumes increased by 1%, while ready-mix and aggregates Cement 1% 1% 4% volumes declined by 10% and 16%, respectively, Price (LC) Ready mix 3% 3% 5% reflecting adverse weather conditions Aggregates 2% 2% 7% In Poland, daily domestic gray cement and ready- Volume-weighted, local-currency average prices mix volumes decreased 1% and 13%, respectively, due to a high comparison base in 1Q17 as well 11 as adverse weather conditions

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Asia, Middle East and Africa l-t-l l-t-l Increase in regional daily cement volumes 3M18 3M17 % var % var 1Q18 1Q17 % var % var of 24% during the quarter reflecting double- Net Sales 375 326 15% 13% 375 326 15% 13% digit growth in the Philippines and Egypt Op. EBITDA 62 64 (3%) (3%) 62 64 (3%) (3%) Increase in sequential regional prices for as % net sales 16.5% 19.6% (3.1pp) 16.5% 19.6% (3.1pp) our three core products in local-currency Millions of U.S. dollars terms In the Philippines, quarterly increase in 3M18 vs. 3M17 1Q18 vs. 1Q17 1Q18 vs. 4Q17 volumes supported by increase in Cement 21% 21% 3% infrastructure activity, favorable weather Volume Ready mix 4% 4% (4%) conditions, and low base of comparison in Aggregates (2%) (2%) (7%) 1Q17; sequential cement prices increased by 2% in local-currency terms In Egypt, quarterly cement volumes reflect 3M18 vs. 3M17 1Q18 vs. 1Q17 1Q18 vs. 4Q17 low base of comparison in 1Q17 and Cement (1%) (1%) 6% additional volumes sold in Lower Egypt; local-Price (LC) Ready mix 4% 4% 4% currency cement prices increased by 18% on Aggregates 3% 3% 8% a year-over-year basis Volume-weighted, local-currency average prices 12

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First Quarter 2018 • 1Q18 Results Torre Reforma, Mexico

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Operating EBITDA, cost of sales and operating expenses January—March First Quarter Operating EBITDA during the quarter l-t-l l-t-l impacted by seasonal effects; remained 2018 2017 % var % var 2018 2017 % var % var    Net sales 3,381 3,142 8% 2% 3,381 3,142 8% 2% flat on a year-over-year basis when adjusted for fewer business days and Operating EBITDA 535 557 (4%) (6%) 535 557 (4%) (6%) inventory effect as % net sales 15.8% 17.7% (1.9pp) 15.8% 17.7% (1.9pp) Cost of sales, as a percentage of net Cost of sales 2,307 2,130 (8%) 2,307 2,130 (8%) sales, increased by 0.4pp during the as % net sales 68.2% 67.8% (0.4pp) 68.2% 67.8% (0.4pp) quarter mainly reflecting higher energy costs Operating expenses 742 661 (12%) 742 661 (12%) Operating expenses, as a percentage of as % net sales 21.9% 21.0% (0.9pp) 21.9% 21.0% (0.9pp) net sales, increased by 0.9pp during the Millions of U.S. dollars quarter mainly driven by higher distribution expenses 14

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Free cash flow January—March First Quarter Average working capital days during 2018 2017 % var 2018 2017 % var 1Q18 decreased to negative 13, from Operating EBITDA 535 557 (4%) 535 557 (4%) negative 1 day in 1Q17    —Net Financial Expense    173                224                173                 224 Average working capital days    —Maintenance Capex                78                58                 78                58    —Change in Working Capital    361                371                361                 371    —Taxes Paid                50                49                 50                49 -1 -1    —Other Cash Items (net)                26                12                 26                12    —Free Cash Flow -5                —                (5)                 —                (5)                 Discontinued Operations Free Cash Flow after (154) (152) (1%) (154) (152) (1%) Maintenance Capex    —Strategic Capex 9 28 9 28 -13 -13 Free Cash Flow (162) (181) 10% (162) (181) 10% Millions of U.S. dollars 1Q17 2Q17 3Q17 4Q17 1Q18 15

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Other income statement items during 1Q18 Gain on financial instruments of US$34 million mainly resulting from derivatives related to CEMEX and GCC shares Foreign-exchange loss of US$82 million resulting primarily from the fluctuation of the Mexican peso versus the U.S. dollar, partially offset by the fluctuation of the Euro and the Colombian peso versus the U.S. dollar Controlling interest net income of US$26 million, in 1Q18, versus an income of US$336 million in 1Q17, the lower income mainly reflects lower operating earnings before other expenses, net, lower other income, net, a higher foreign exchange loss, higher income tax, a negative variation in discontinued operations and lower income from financial instruments, partially offset by lower financial expenses and lower non-controlling interest net income 16

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Debt-related information Total debt plus perpetuals variation by security 0% Redeemed €400 million, the full 11,349 478 11,352 outstanding aggregate principal amount of the 4.75% notes due in January 2022 79 31 341 Redeemed US$341 million, the full 365 outstanding aggregate principal amount 700 of the 7.25% notes due in January 2021 377 Repaid US$365 million the full outstanding aggregate principal amount of the 3.75% convertible notes due in March 2018 that did not convert Negative FX impact of debt of US$79 4Q17 €400 $341 $365 Credit Revolving Debt FX Other 1Q18 million during the quarter million million million Agreement Facility effect 4.75% 7.25% 3.75% Credit Fitch Ratings maintained CEMEX’s Jan 2022 Jan 2021 March Agreement positive rating outlook, affirming its notes notes 2018 credit rating at ‘BB-’, on March 2018 convertible notes 17

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CEMEX consolidated debt maturity profile Total debt excluding perpetual notes as of March 31, 2018: US$10,902 million Credit Agreement Other bank debt Fixed Income Avg. life of debt: 5.1 years Convertible Subordinated Notes 2,511 1,882 1,970 1,154 1,234 997 677 436 41 2018 2019 2020 2021 2022 2023 2024 2025 2026 Millions of U.S. dollars 18

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While total debt plus perpetuals remained flat, Funded                Debt under Credit Agreement increased in 1Q18 Consolidated Funded Debt1 (CFD) variation Leverage ratio as defined under our Credit Agreement reached 4.22x, from 10,802 3.85x in 4Q17, mainly due to increase in Consolidated Funded Debt 215 79 Convertible securities, because of their 162 subordinated nature, are excluded from 9,981 Consolidated Funded Debt 365 Consolidated Funded Debt also increased during 1Q18 due to seasonality of working capital needs and negative conversion effect of debt 1Q18 4Q17 CFD 4Q17 2018 FCF after Debt FX Other CFD 1Q18 CFD1 10,802 9,981 convertibles strategic effect 1 LTM EBITDA 2,562 2,593 CapEx Leverage 4.22x 3.85x Millions of U.S. dollars 1 Consolidated Funded Debt (CFD) and last-12-months EBITDA (LTM EBITDA) in accordance with our contractual obligations under the 2017 Credit Agreement 19

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First Quarter 2018 • 2018 Outlook Pharmax Pharmaceutical, United Arab Emirates

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2018 guidance Cement: 2% to 3% Consolidated Ready mix: 3% to 4% volumes Aggregates: 1% to 2% Energy cost per ton of cement Increase of approximately 4% to 6% produced US$550 million Maintenance CapEx Capital US$250 million Strategic CapEx expenditures US$800 million Total CapEx Investment in US$0 million working capital Cash taxes US$250 to 300 million Cost of debt1 Reduction of approximately US$125 million 1 Including perpetual and convertible securities 21

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First Quarter 2018 • Appendix Chase Center, USA

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Consolidated volumes and prices 3M18 vs. 3M17 1Q18 vs. 1Q17 1Q18 vs. 4Q17 Consolidated daily volumes for cement Volume (l-t-l1) 2% 2% (6%) and ready mix increased by 3% and 1%, Domestic gray respectively, on a like-to-like basis, while Price (USD) 5% 5% 4% cement aggregates volumes remained flat Price (l-t-l1) 1% 1% 3% Volume (l-t-l1) (0%) (0%) (7%) During the quarter, higher year-over-year cement volumes in the U.S. and Ready mix Price (USD) 9% 9% 5% AMEA region Price (l-t-l1) 4% 4% 3% 1 Quarterly increases in our consolidated Volume (l-t-l ) (2%) (2%) (10%) prices for our three core products, both Aggregates Price (USD) 9% 9% 7% sequentially and on a year-over-year basis Price (l-t-l1) 2% 2% 5% 1 Like-to-like volumes adjusted for investments/divestments and, in the case of prices, foreign-exchange fluctuations 23

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Additional information on debt and perpetual notes First Quarter Fourth Quarter 2018 2017 % var 2017 Other Total debt1 10,902 12,164 (10%) 10,901 7%                Short-term 4% 7% 12% Euro Currency 26%                Long-term 96% 93% 88% denomination U.S. dollar Perpetual notes 450 439 2% 448 66% Total debt plus perpetual notes 11,352 12,603 (10%) 11,349 Cash and cash equivalents 313 438 (29%) 699 Net debt plus perpetual notes 11,039 12,165 (9%) 10,650 Consolidated Funded Debt2 (CFD) 10,802 11,258 (4%) 9,981 CFD / EBITDA3 4.22 4.07 3.85 Interest coverage3 4 3.85 3.30 3.46 Millions of U.S. dollars Interest rate Variable Fixed 1 Includes convertible notes and capital leases, in accordance with International Financial Reporting 41% 59% Standard (IFRS) 2 Consolidated funded debt, in accordance with our contractual obligations under the 2017 Credit Agreement 3 EBITDA calculated in accordance with IFRS 4 Interest expense in accordance with our contractual obligations under the 2017 Credit Agreement 24    

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Additional information on debt First Quarter Fourth Quarter 2018 % of total 2017 % of total 2017 % of total Total debt1 by instrument Fixed Income 6,203 57% 8,080 66% 6,984 64% 2017 Credit Agreement 3,666 34% 2,192 18% 2,549 23% Convertible Subordinated Notes 509 5% 1,166 10% 870 8% 5% 5% Others 524 5% 726 6% 498 5% Total Debt1 10,902 12,164 10,901 Millions of U.S. dollars 56% 1 Includes convertible notes and capital leases, in accordance with IFRS 34% 25

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1Q18 volume and price summary: Selected countries Domestic gray cement Ready mix    Aggregates 1Q18 vs. 1Q17 1Q18 vs. 1Q17 1Q18 vs. 1Q17 Volumes Prices (USD) Prices (LC) Volumes Prices (USD) Prices (LC) Volumes Prices (USD) Prices (LC) Mexico (4%) 12% 5% 5% 17% 10% 8% 12% 5% U.S. 4% 2% 2% 8% 1% 1% 5% 4% 4% Colombia (11%) (2%) (5%) (16%) 2% (1%) (16%) (1%) (4%) Panama (18%) (0%) (0%) (10%) (6%) (6%) 4% (5%) (5%) Costa Rica 5% 0% 1% 11% (3%) (2%) 31% (29%) (28%) UK (4%) 10% (2%) (10%) 12% (0%) (9%) 14% 1% Spain 3% 18% 2% 12% 20% 4% (4%) 23% 6% Germany (1%) 17% 1% (11%) 22% 6% (17%) 14% (1%) Poland (2%) 23% 4% (14%) 29% 9% 6% 7% (9%) France N/A N/A N/A (11%) 20% 3% (9%) 19% 3% Philippines 16% (8%) (5%) N/A N/A N/A N/A N/A N/A Egypt 31% 18% 18% (10%) 23% 24% (26%) 29% 30% 26

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2018 expected outlook: Selected countries Domestic gray cement Ready mix Aggregates Volumes Volumes Volumes Consolidated1 2%—3% 3%—4% 1%—2% Mexico 2%—3% 4%—5% 4%—5% United States1 2%—4% 2%—4% 2%—4% Colombia (2%)—0% (1%)—1% 0%—1% Panama (4%)—0% 5%—7% 6%—8% Costa Rica 2%—4% (2%)—0% 5%—7% UK (1%)—1% (1%)—1% (1%)—1% Spain 4%—6% 4%—6% 4%—6% Germany 1%—2% 1%—2% 0%—2% Poland 3%—5% 2%—3% 0%—1% France N/A 0%—2% 0%—2% Philippines 8%—12% N/A N/A Egypt (10%)—(5%) (7%)—(5%) N/A 1 On a like-to-like basis for the ongoing operations 27    

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Definitions 3M18 / 3M17 Results for the first three months of the years 2018 and 2017, respectively AMEA Asia, Middle East and Africa Cement When providing cement volume variations, refers to domestic gray cement operations (starting in 2Q10, the base for reported cement volumes changed from total domestic cement including clinker to domestic gray cement) Cement kiln Volume produced/available capacity, available capacity = nominal capacity x (total hours—scheduled operational efficiency down time) LC Local currency l-t-l % var Like-to-like percentage variations adjusted for investments/divestments and currency fluctuations Maintenance capital Investments incurred for the purpose of ensuring the company’s operational continuity. These include expenditures 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 company policies Operating EBITDA Operating earnings before other expenses, net plus depreciation and operating amortization pp Percentage points Prices All references to pricing initiatives, price increases or decreases, refer to our prices for our products SCAC South, Central America and the Caribbean Strategic capital Investments incurred with the purpose of increasing the company’s profitability. These include capital expenditures 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 % var Percentage variation 28

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Contact information Investor Relations Stock Information In the United States NYSE (ADS): +1 877 7CX NYSE CX In Mexico Mexican Stock Exchange: +52 81 8888 4292 CEMEXCPO ir@cemex.com Ratio of CEMEXCPO to CX: 10 to 1 29