Blaming the global high inflationary environment and increasing interest rates, it recognised a goodwill impairment charge of $365 million. Impairment losses for property, machinery and equipment came to $77 million. Operating EBITDA (earnings before interest, tax, depreciation and amortization) for the quarter dropped 2% to $630.46 million. Cemex's operating EBITDA margin was 16.3%, down from 18% in the year-earlier quarter. "The contraction was the lowest of the year," Chief Executive Fernando Gonzalez said in a statement. "I am seeing growing evidence that actual margin recovery is underway." (Reporting by Kylie Madry and Noe Torres; Editing by Edwina Gibbs)
MEXICO CITY, Feb 13 (Reuters) - Mexican cement producer
Cemex posted an unexpected fourth-quarter loss,
logging hefty one-off charges for impairment of goodwill and
fixed assets.
It swung to a net loss of $99.1 million from a profit of
$194.8 million in the same period a year earlier. Analysts had
expected profit to climb after the company hiked product prices
by double-digit percentage figures.
Revenue did increase, surging 8% to $3.87 billion with
robust sales growth seen in Mexico and the United States,
although overall volumes dipped.
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