Cemex reported its fourth quarter and full-year 2024 results today, reaching an annual EBITDA of US$3,079 million and a net income of US$939 million, a record in the company’s recent history. After an exceptional year in 2023, the company continues delivering strong results, reflected in the resiliency of its EBITDA margin and the highest free cash flow after maintenance capex since 2017, adjusting for the Spanish tax fine.
“I am proud of our achievements this year, as it marks a pivotal moment in the corporate transformation we envisioned in 2020,” said Fernando A. González, CEO of Cemex. “With the recovery of our investment grade ratings, improved free cash flow generation and the execution of US$2.2 billion in asset divestments, we can now pursue more aggressively our capital allocation priorities of growth through small to medium-sized acquisitions, primarily in the U.S., additional deleveraging, and building further on our shareholder return programs.”
Cemex’s net sales decreased by 1% to US$16,200 million in 2024 and remained flat at US$3,811 million in the 4th quarter. EBITDA decreased by 1% to US$3,079 million in 2024 and increased by 3% to US$681 million in Q4 2024.
Cemex has launched Project Cutting Edge, a three-year, US$350 million saving initiative to streamline operations and improve efficiency, heavily leveraging digital technology throughout the company. This program is anticipated to deliver US$150 million in incremental EBITDA in 2025, with the expectation of reaching a run rate of US$350 million by 2027. Project Cutting Edge also contemplates expected savings at the free cash flow level.
In Climate Action, the company is advancing its Future in Action roadmap, making significant progress in profitable decarbonisation by reducing Scope 1 and Scope 2 CO2 emissions by 15% and by about 17%, respectively, compared to 2020. This reduction would historically have taken Cemex 16 years to achieve. Based on current emissions levels, Cemex is well on its way to reaching its 2025 and 2030 CO2 emissions targets.
