CEMEX, S.A.B. de C.V. (NYSE: CX), announced today that consolidated net
sales increased 29% in the second quarter of 2008 to US$6.3 billion
versus US$4.9 billion in the comparable period in 2007. EBITDA increased
21% in the second quarter of 2008 to US$1.4 billion from US$1.1 billion
in the same period of 2007.
CEMEX’s
Consolidated Second Quarter Financial and Operational Highlights
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Higher sales were mainly a result of the integration of Rinker as well
as better supply-demand dynamics in most of our markets.
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Free cash flow after maintenance capital expenditures for the quarter
was US$739 million, up 31% from US$562 million in the same quarter of
2007.
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Operating income increased 12% during the quarter compared with the
same period last year, reaching US$899 million.
Hector Medina, Executive Vice President of Planning and Finance, said,
"Our consolidated results for the second quarter show the strength of
our business model, characterized by our international presence and
diverse asset portfolio. We achieved significant increases in net sales
while further reducing our debt level, even in the face of the continued
downturn in the United States' residential sector and the downturn in
the Spanish economy. Looking ahead, we remain focused on strengthening
our financial flexibility while continuing to drive solid returns for
our shareholders."
Consolidated Corporate Results
Majority net income decreased 27% to US$444 million in second quarter
2008 from US$611 million in the same period a year ago.
Net debt at the end of the second quarter was US$17.6 billion,
representing a reduction of $US1.2 billion during the quarter. The
net-debt-to-EBITDA ratio reached 3.5 times for second quarter 2008
compared with 3.7 times in first quarter 2008. Interest coverage reached
4.4 times during the quarter, down from 8.9 times a year ago.
Major Markets Second Quarter Highlights
Net sales in our operations in Mexico increased 12% in the second
quarter of 2008 to US$1.1 billion, compared with US$967 million in the
second quarter of 2007. EBITDA increased 16% to US$413 million versus
the same period of last year.
CEMEX’s operations in the United States
reported net sales of US$1.3 billion in the second quarter of 2008, up
38% from the same period in 2007.
