MANILA -Cemex Holdings Philippines, one of the country’s top cement producers, widened losses during the first nine months of the year despite record high volumes as cost pressures mount.
From January to September this year, Cemex Philippines booked a net loss of P1.2 billion versus P819 million during the same period in 2022.
For the third quarter alone, losses were higher by 2.5 percent to P583 million.
“In this year of transition for our company, we remain dedicated to finding opportunities to improve our overall efficiency and profitability by proactively managing the variables we can control,” Cemex Philippines president and CEO Luis Franco said in a statement.
He also expected business conditions to remain challenging through through the fourth quarter of 2023.
The company noted that overall costs were elevated but it also pointed to gradual slowing pace of expenses.
“These improvements were mainly driven by significant reductions in energy cost and enhanced operating efficiencies,” Cemex Philippines said.
Cemex Philippines added that volumes in the third quarter started to pick up although market conditions have yet to improve.
Overall demand during the nine-month period remained soft as net sales slid 15 percent to P13.5 billion, despite a price cut. Net sales during the third quarter were also down 14 percent to P4.4 billion.
Franco said the company will continue with its cost efficiency measures to keep expenses in check.
“I am pleased with the initial progress we have made in the implementation of our [efficiency program] and its results in optimizing our operations, streamlining processes, increasing supply chain efficiency, and improving our energy mix,” he said in the statement.