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| Statement |
|---|
| Our adjusted EBITDA for the quarter stood at $61 million, reaching a very robust figure amidst a challenging environment |
| Argentina has great growth potential which will be unleashed if the country manages to start moving along to the right path |
| We are very proud of the results achieved by Loma in 2023, despite the lower volume of the four quarters that were more affected by the end of the period due to the political transition |
| On the other hand, the US dollar EBITDA per ton stood at $39 for the quarter, almost plus year-on-year, once we subtracted the asset sale and improving by 7% in secondary basis |
| Throughout the year, we have successfully carried out forward local bond issuance, taking advantage of the favorable moments for solid corporate credits |
| In a per ton basis, EBITDA reached $39 per ton with almost no variation year-on-year once we subtract the asset sales and improved by 7% from the previous quarter |
| However, without considering the clinker stock variation, the performance was positive with a reduction of 1.4% in kg of CO2 per ton of cement equivalent |
| On the social side, we are convinced that through strategic partnership, we can transform reality to ensure a more inclusive future |
| We must [lose seeing] (ph) that 2023 was the second best year for the industry in terms of volume, only behind the record achieved in 2022 |
| And looking to our annual figures in 2023, we reached a solid EBITDA of $252 million with an EBITDA margin of 23.8% |
| For the full year, net income attributed to the owner of the company increased 70.7% year-on-year to ARS10.3 billion from ARS6 billion in fiscal year 2022, mainly as a result of a lower total net financial cost, coupled with a lower tax position that compensated a lower operational result |
| I invite you to read it to know the most outstanding results of our company |
| In this context, Loma has once again demonstrated its resilience, delivering another solid set of results despite the decrease in our top line, which reaches ARS99 billion, marking a decrease of 13.2% |
| Regarding the governance tag, we continue training our people of the company in training program, where we cover 100% of our employee and reinforcing the commitment to ethical and transparency |
| In the same sense, the cost of electrical energy improved as a proportion of hydraulic energy, which has a lower cost, increasing the country's electrical generation matrix |
| We truly appreciate your interest in our company |
| We take great satisfaction in realizing a new edition of the Loma Negra Sustainability Report, aiming to share our journey and dedication to sustainable development with all stakeholders |
| Starting with Slide 2, I'm delighted to share with you our performance for the final quarter of the year, despite the current challenges resulting for the political transition and involving economic environments, which impacted second semester activity level |
| Despite the significant drop in activity level evidenced in the first months of the year, we remain optimistic but aware that the path to recovery will be winning and full of the challenges |
| Thank you and have a nice day |
| Finally, I would like to thank all our employees for the commitment they have shown throughout the year |
| In that scenario, Loma has the capacity to support and bolster the country's development, fulfilling an role as industry leaders |
| I also want to express gratitude to the rest of our stakeholders for being close to us for another year |
| Our operation cash generation stood at ARS26.2 billion, where the decrease in the net profit adjusted to reconcile to net cash provided by operation activities was partially compensated by a positive effect of the working capital mainly due to lower income tax advances |
| For the full year 2023, adjusted EBITDA reached the figure of $252 million |
| We expect the upcoming month to continue more or less in this space, but then for the second half of the year, economy began to pick up, and that's why we're going to see a pick-up on cement volumes |
| Hello, everyone, and thank you for joining us this morning |
| Jorge Vinas Thank you very much |
| We maintain the implementation of our program in different territories of the country, benefit more than 80,000 people |
| Daniel Rojas Thank you |
| Statement |
|---|
| For the fiscal year 2023, gross profit was down 13.2% with a margin contraction of 192 basis points |
| The fourth quarter top line showed a decrease of 13.2%, mainly attributed to the decline in the cement segment, also followed by the other businesses |
| As you can see on the upper left chart, the most recent estimates indicate a negative performance of the economy for 2023 of around 1.6% |
| In the same sense, the market expectation report from the central bank signals a negative performance for 2024, showing a decrease of 3% and then a recovery in 2025 |
| The cement, masonry cement & lime segment was down 16% with volumes contracted by 10.1% year-on-year, mainly due to the impact of the economic environment on bulk mode dispatches |
| Concrete adjusted EBITDA decreased [ARS161 million] (ph) compared to fourth quarters of a year ago with a margin contraction of 129 basis points, reaching 1.5% |
| Transported volumes were down by 9%, primarily affected by the lower level of activity in the construction sector, which impacted our main cargo shipments, especially in aggregates |
| For the FY 2023, consolidated revenues were down 6.6% to ARS422 billion from ARS452 billion in 2022, with cement volumes contracted by 4.5% from the record year of 2022 |
| Finally, the adjusted EBITDA margin of the railroad contracted 922 basis points to minus 4.2% in the fourth quarter, from 5.1% in the fourth quarter of 2022 principally due to higher costs coupled with lower transported volumes |
| Following this trend, cement dispatches showed a double-digit decrease in November and December and a sharp drop in the first month of 2024 |
| Moving on to Slide 9, Consolidated gross profit for the quarter declined 14.3% with a margin contraction of only 36 basis points to 26.2%, mainly due to the cost improvements in the cement segments and lower depreciation |
| In pesos, adjusted EBITDA was down 44.7% in the quarter, reaching ARS22.7 billion with a consolidated EBITDA margin of 22.8% |
| Eliminating that effect, the adjusted EBITDA in pesos was down 25.8%, with the margin contracting by 389 basis points, in line with previous quarterly results |
| Concrete revenues decreased by 12.3% in the quarter, mainly due to the 17.5% decrease in dispatches |
| Bulk cement sales also decreased following the trend of previous quarter |
| In the same vein, railroad revenues decreased by 10.5% in the quarter |
| Additionally, a storm that hit Bahia Blanca in December temporarily knocked out of service the two plants from which we transport chemicals to Buenos Aires |
| But obviously that number is going to be negative for the year |
| Major projects which are the market target for a concrete operation experienced a slowdown due to a macroeconomic uncertainty, while public works enter standby mode after the elections awaiting future definitions |
| This decline was primarily due to the volume contraction in our core segment, cement |
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