Grupo Cementos de Chihuahua, S.A.B. de C.V. (GCC) announced U.S. cement volumes increased 9.8% in the third quarter of 2019 – a record high for the Mexico-based company. Consolidated net sales increased 8.3% to $301.7 million, primarily driven by increased cement volumes and improved pricing in both Mexico and the U.S.
Regionally, net sales rose 5.5% and 9.1% in Mexico and the U.S., respectively.
“GCC delivered strong operational results for the third quarter 2019 despite an increasingly competitive environment in certain markets. Increased volumes, with a record high in cement, reflect robust customer demand and our ability to trigger the significant backlog at our U.S. operations with benefit of improved weather conditions in this market,” said Enrique Escalante, GCC chief executive officer. “Strengthened pricing in both the U.S. and Mexico – where cement volumes exceeded our expectations for the quarter – as well as excellent execution and an outstanding distribution network contributed to our solid results. We look forward to continued momentum in this regard, provided the promising weather holds.”
In the first nine months of 2019, net sales increased 4.2% year-over-year to $705.5 million. Net income jumped a staggering 84.4% to $77.8 million from $42.2 million for the first nine months. EBITDA was up 3.5% to $205.6 million, while its margin declined to 29.1% from 29.3% during the prior-year period.
