Cementos Pacasmayo (CPAC) Q4 2024 earnings summary

Executive summary

• Sales volume reversed its negative trend, increasing 2.6% year-over-year in Q4 2024, driven by public sector and infrastructure projects like Piura Airport, with bagged cement and public sector demand as key drivers.

• Full-year 2024 revenues rose 1.4%, supported by dynamic pricing, despite a 3.7% drop in sales volume.

• Record full-year EBITDA of S/ 549.3 million, up 6.0% from 2023, with margin improvement to 27.8%.

• Digital transformation advanced with AI, data management, ISO 27001 certification, and a digital solutions spin-off.

• Sustainability leadership reinforced by environmental product declarations, S&P Yearbook, and Merco ESG rankings.

Financial highlights

• Q4 2024 revenues increased 3% year-over-year to S/ 526.7 million.

• Q4 gross profit decreased 2.1% due to higher costs from the Piura Airport project; full-year gross profit rose 5.7%.

• Q4 adjusted EBITDA was S/ 142.5 million, margin 27.1%; full-year EBITDA reached S/ 549.3 million, margin 27.8%.

• Q4 net profit rose 39.3% to S/ 50.0 million; full-year net profit up 17.8% to S/ 198.9 million, aided by higher operating profit and absence of prior year impairment.

• Cash and short-term deposits at year-end 2024 stood at S/ 72.7 million.

Outlook and guidance

• Positive sales volume trend in Q4 expected to continue in 2025, with optimism for both residential and infrastructure demand.

• Sustaining CapEx forecasted at S/ 100 million for 2025 and 2026, with no major expansion planned.

• EBITDA margins are expected to remain at high 2024 levels, supported by stable energy costs and efficient pricing.

• Management expects improved results in 2025, citing stronger demand and continued operational efficiencies.

• Ongoing focus on digital transformation, innovation, and sustainability to drive medium- and long-term growth.