GCC Reports Fourth Quarter and Full Year 2024 Results

CHIHUAHUA, Mexico, Jan. 28, 2025 (GLOBE NEWSWIRE) -- GCC, S.A.B. de C.V. (BMV: GCC*), a leading supplier and producer of cement and concrete in the United States and Mexico, today announced its results for the fourth quarter and full year of 2024.

FY 2024 HIGHLIGHTS

   -- Consolidated net sales increased 0.2% year-on-year to US$1,366.7 million 
 
   -- U.S. sales grew 3.9% as cement and concrete prices increased 5.5% and 
      8.1%, respectively 
 
   -- Mexico cement and concrete prices increased 4.9% and 6.7%, respectively 
 
   -- EBITDA increased 6.2% to US$500.6 million with a 36.6% EBITDA margin 
 
   -- Cash and equivalents totaled US$830.6 million 
 
   -- Net leverage (net debt/EBITDA) ratio totaled -0.67x as of December 2024 
 
   -- Earnings per share increased 9.5% year-on-year, to US$0.9894 
 
   -- Free cash flow totaled US$321.8 million with a 64.3% free cash flow 
      conversion rate 
 
   -- A dividend of Ps. 1.5369 per share was paid on May 22, 2024, representing 
      a 15% year-on-year increase 
 
   -- GCC presented its first integrated report for the fiscal year 2023 
 
   -- Fitch Ratings upgraded GCC's credit rating to 'BBB', with a stable 
      outlook 
 
   -- GCC closed the acquisition of three aggregates operations in Texas 

Q4 2024 HIGHLIGHTS

   -- Consolidated net sales decreased 1.3 % year-on-year to US$335.3 million 
 
   -- U.S. sales grew 4.1% as cement and concrete prices increased 5.6% and 
      7.1%, respectively 
 
   -- U.S. concrete volumes increased 4.5% 
 
   -- Mexico cement and concrete prices increased 7.2% and 6.5%, respectively 
 
   -- EBITDA increased 3.7% to US$121.6 million with a 36.3% EBITDA margin 
 
   -- Free cash flow totaled US$129.7 million with a 106.6% free cash flow 
      conversion rate 
 
   -- GCC repurchased shares in the net amount of US$1.7 million 
 
KEY FIGURES (millions 
of dollars) 
                                        Q4 24 vs.                    2024 vs. 
                        Q4 24   Q4 23     Q4 23     2024     2023      2023 
----------------------  ------  ------  ---------  -------  -------  --------- 
Net sales                335.3   339.9      -1.3%  1,366.7  1,363.9       0.2% 
Operating income 
 before other 
 expenses, net            94.3    97.6       -3.3    399.5    382.3       4.5% 
EBITDA*                  121.6   117.3       3.7%    500.6    471.5       6.2% 
EBITDA margin            36.3%   34.5%               36.6%    34.6% 
Free cash flow**         129.7   107.1      21.2%    321.8    233.7      37.7% 
Net income                78.1    75.1       3.9%    323.9    295.5       9.6% 
Earnings per share 
 (US$) ***              0.2383  0.2299       3.7%   0.9894   0.9034       9.5% 
----------------------  ------  ------  ---------  -------  -------  --------- 
 

*EBITDA: Operating income before other expenses + depreciation and amortization

**Free cash flow before growth and strategic CapEx

***Earnings per share calculated based on average number of outstanding shares during the quarter

Enrique Escalante, GCC's Chief Executive Officer, said "GCC delivered exceptional results once again in 2024. Despite navigating a challenging economic environment, we achieved record-breaking sales, EBITDA, margins and net income. These results underscore our team's flexibility and agility to successfully execute our strategy."

Enrique continued, "Looking ahead, we remain cautious about demand dynamics. The fundamentals of our business remain strong, especially in the U.S. market where we generated more than 75% of our EBITDA."

To access the earnings release: click here

CONFERENCE CALL

GCC, S.A.B. de C.V. will host its earnings conference call on January 29, 2025.

Time: 10 a.m. Eastern Time (New York) / 9 a.m. Central Time (Mexico City)

Conference ID: 13750646

 
Dial in 
 U.S. (toll free):                      1-877-407-0789 
 International:                         1-201-689-8562 
Replay (through February 5, 2025, 11:59 p.m.ET): 
 U.S. (toll free):                      1-844-512-2921 
 International:                         1-412-317-6671 
 

Listen-only webcast and replay: click here

ABOUT GCC

GCC is a leading supplier and producer of cement, concrete, aggregates and construction--related services in the United States and Mexico. The Company has an annual cement production capacity of 6 million metric tons.

Founded in 1941, the Company's shares are listed on the Mexican Stock Exchange under the ticker symbol GCC*.

Forward Looking Statements

This earnings report may contain forward-looking statements. All statements that are not clearly historical in nature are forward-looking, and words such as "anticipate," "believe," "expect," "estimate," "intend, " "project," and similar expressions are generally intended to identify forward-looking statements. These statements are subject to risks and uncertainties, including but not limited to changes in macroeconomic, political, legal, and public health conditions, including COVID-19, governmental or business conditions in the markets where GCC operates, changes in interest rates, inflation rates, and currency exchange rates, as well as the performance of the construction industry, pricing, business strategy, and other factors.

If one or more of these risks or uncertainties materialize, or if underlying assumptions prove incorrect, actual results may differ materially from the beliefs, projections, and estimates described herein. GCC assumes no obligation to update the information contained in this earnings report. Due to rounding, numbers presented throughout this document may not add up precisely to the totals provided, and percentages may not precisely reflect the absolute figures.

For further information, contact:

GCC Investor Relations

Sahory Ogushi

+52 (614) 442 3176

+ 1 (303) 739 5943

soguship@gcc.com

(END) Dow Jones Newswires

January 28, 2025 16:21 ET (21:21 GMT)