Votorantim Cimentos posted net income of R$692 million in the second quarter of 2021, reversing the R$153 million loss in the same period last year. The company’s global net revenue in the quarter was R$5.8 billion, an increase of 50% compared to the prior-year period, as a result of an increase in sales volume and favorable price dynamics in all regions where it operates.
The company’s global cement sales totaled 9.8 million tonnes in the second quarter of 2021, an increase of 31% from the prior-year period.
In Brazil, Votorantim Cimentos’ net revenue in the quarter was R$2.6 billion, a 46% increase compared to the second quarter of 2020. Adjusted EBITDA was R$ 659 million, an increase of 167%, with an EBITDA margin of 26%. The positive results are mainly due to a growth in sales volume and prices, as well as continued positive market dynamics in all regions of the country. The National Cement Association (SNIC) updated the industry’s growth forecast to 6% in 2021.
In North America, the company’s net revenue was R$1.9 billion in the second quarter of 2021, an increase of 32% compared to the same period last year, primarily due to higher sales volume, especially in Canada, and the incorporation of McInnis Cement volumes starting in May, as well as price dynamics in the local market. Adjusted EBITDA in the quarter was R$598 million, a 54% increase.
In Latin America, Votorantim Cimentos’ net revenue in the second quarter was R$198 million, a 63% increase compared to the prior-year period. Adjusted EBITDA, on the other hand, was R$92 million, up 240% compared to the second quarter of 2020. The results were due to good sales volume and price dynamics, especially in Bolivia, which had been impacted by COVID-19 restrictions in the prior-year period.