Cementos Molins achieves a net profit of 80 million euros in the first half of the year

The company reported sales and earnings increases in all regions in the first six months of the year.

Cementos Molins today announced its results for the first half of 2023, a period marked by a general slowdown in activity during the second quarter, although this evolution is uneven depending on the geographical area.

In the first six months of the year, Cementos Molins’ sales amounted to 705 million euros, 16% higher than in the first half of the previous year, with increases in all regions and businesses and with a positive impact on both volume and prices.

EBITDA amounted to EUR 179 million, up 36% year-on-year. This improvement in operating profit was mainly due to volume increases, the positive impact of the efficiency plans, the improvement in sales prices and the gradual improvement in fuel and energy costs during the first half of the year. On the negative side, the exchange rate had a negative impact. The EBITDA margin increased by 3.7 p.p. to 25.5%, recovering part of the erosion of the previous year.

Net profit was EUR 80 million, 40% higher than in the same period of the previous year, as a result of the strong increase in operating income, as well as the base effect of the comparison with the first half of 2022, negatively affected by the economic slowdown, strong cost inflation and tensions in the supply chain.

As regards net financial debt, during H1 2023 it decreased by 57% to EUR 69 million, equivalent to a net financial debt/EBITDA multiple of only 0.2x. This strong financial position is a great lever for the execution of new growth opportunities and the investments foreseen in the 2030 sustainability roadmap.

CEO Julio Rodriguez explains: “It has been a very positive second quarter in terms of our financial results, but also very encouraging for the progress we are making in sustainability. In this regard, we have achieved important milestones in our ‘Sustainability Roadmap 2030’ following the launch of new cements and concretes with a lower carbon footprint in Spain, the inauguration of a new solar farm in San Luis (Argentina) that covers 55% of the plant’s electricity consumption and will prevent the emission into the atmosphere of more than 22,000 tonnes of CO2 per year; the recovery of more than 93,000 tonnes of waste at our facilities in Spain is also very relevant. A great job by our team and I would like to take advantage of the presentation of results for the first half of the year to express my gratitude to all the professionals at Cementos Molins for their effort, commitment and excellent results”.