Cemex announces record annual EBITDA as part of strong trading year

Cemex reports record annual EBITDA as part of a strong set of 2023 results, with an 8% growth in sales to US$17.416 billion, a 20% increase in EBITDA to $3.347 billion, and a more than doubling of Free Cash Flow after maintenance capex to $1.2 billion.
Quarry Products / February 8, 2024
By Guy Woodford
Cemex reports record annual EBITDA as part of a strong set of 2023 results. Pic: Cemex

For the full year, EBITDA from Cemex’s Urbanisation Solutions business increased by 27%, and the continued execution of Cemex’s decarbonisation roadmap led to a 4% YoY CO2 reduction in 2023 and 13% since 2020. 

This performance, coupled with the Board’s confidence in the medium-term outlook and strong free cash flow generation over the last few years, allows Cemex to initiate a formal shareholder return program, subject to approval at the next Annual Shareholders’ Meeting. 

Cemex CEO Fernando A. González has welcomed Cemex's strong 2023 trading. Pic: Cemex

Cemex reported an EBITDA margin of 19.2%, an expansion of 2.0pp, achieving its goal of recovering the 2021 margin. Record EBITDA of approximately US$3.35 billion and a turnaround in working capital investment significantly contributed to a 6-year high in Free Cash Flow after maintenance capex. Results were bolstered by strong pricing for its products across all markets, decelerating input cost inflation, and contributions from Cemex’s growth investment strategy and Urbanisation Solutions business. 

“I am pleased to announce that 2023 is a record year for our company where we delivered not only great results and recovered from the extraordinary inflationary pressures of the last few years but also continued executing against our ambitious decarbonisation commitments, reducing our CO2 emissions by 4% this year and by 13% since 2020,” said Fernando A. González, CEO of Cemex. 

“Despite the significant macro challenges of the last four years, we have proven not only the resiliency of our business model but also our ability to pivot and adjust rapidly to changing global conditions. This foundation gives us additional flexibility in capital allocation, where we continue to accelerate investments in our bolt-on growth strategy, initiate a sustainable return program for shareholders, and bolster our capital structure.” 

Cemex truck
The COP28 unveiled prototype of a Cemex electric concrete mixer truck. Pic: Cemex

Cemex also reports Q4 2023 figures. These show that quarterly sales were up 5% to $4.243 billion. EBITDA in Q4 2023 was also up 13% to $743 million. 

In the Europe, Middle East, Africa and Asia region, Cemex sales increased by 5% in 2023 to $5.059 billion and decreased by 4% in Q4 2023 to $1.166 billion. EBITDA was US$703 million in 2023, 7% higher, and US$129 million for Q4 2023, a 14% decrease.

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