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Cementos Pacasmayo S.A.A. Announces Consolidated Results for Second Quarter 2017


Cementos Pacasmayo S.A.A. and subsidiaries (NYSE:CPAC, BVL:CPACASC1))
("the Company" or "Cementos Pacasmayo") a leading cement company serving
the Peruvian construction industry, announced today its consolidated
results for the second quarter ("2Q17") and six months ("6M17") ended
June 30, 2017. These results have been prepared in accordance with
International Financial Reporting Standards ("IFRS") and are stated in
nominal Peruvian Soles (S/).

Financial and Operational Highlights:

2Q17 Highlights

(All comparisons are to 2Q16, unless otherwise stated)

  • Sales volume of cement, concrete and blocks decreased 2.8%
    primarily due to a sharp decline in sales volume in April due to
    landslides, flooding and heavy rain, in the North of Peru associated
    with Coastal El Niño. Sales volumes in May and June increased
  • Revenues decreased 6.0%
  • Gross margin of 39.0%, a 3.6 percentage points decrease mainly
    due to significantly lower sales in April, as well as increased
    severance payments and lower dilution of fixed costs.
  • Cement EBITDA margin of 27.6%, a 4.4 percentage points
    decrease, resulting from unusually low cement EBITDA in April. May and
    June cement EBITDA margin was 30.5% and 32.3% respectively, showing a
    positive forward looking trend. Consolidated EBITDA of S/77.2
    million, a 19.1% decrease.
  • Net income of Continuing Operations of S/21.3 million, a 37.4%
    decrease due to lower sales volume, lower operating profit resulting
    from higher expenses related to severance payments, increased
    distribution costs due to road destruction, as well as the cost of
    some damages to our plants from Coastal El Niño.
  • Good Corporate Governance Index - Cementos Pacasmayo was
    included in the Lima Stock Exchange Good Corporate Governance Index
    ("BVL IBGC") for eighth consecutive year. The BVL IBGC Index is
    designed to track the performance of those companies committed to good
    corporate governance, with only six Peruvian listed companies included
    as part of the index in 2017.

6M17 Highlights

(All comparisons are to 6M16, unless otherwise stated)

  • Sales volume of cement, concrete and blocks decreased 7.7%
    primarily due to a sharp decline in sales volume in the first four
    months of the year associated with Coastal El Niño.
  • Revenues decreased 7.7% .
  • Gross margin of 39.6%, in line with gross margin for the 6M16.
  • Cement EBITDA margin of 28.7%, a 1.3 percentage points decrease
    resulting from unusually low cement EBITDA in April. Consolidated
    of S/159.6 million, a 12.4% decrease.
  • Net income of Continuing Operations of S/43.7 million, a 31.2%
    decrease resulting from lower sales and lower operating margin.

For a full version of Cementos Pacasmayo's Second Quarter 2017
Earnings Release, please visit


Cementos Pacasmayo will host a conference call on Friday, July 21,
to discuss these results at 11:30 a.m. Lima Time/12:30 p.m.
Eastern Time

To access the call, please dial:
+1 (866) 682-6100 (From within the U.S.)
+1 (862) 255-5401 (From outside the U.S.)

There will also be a live Audio Webcast of the event at:

About Cementos Pacasmayo S.A.A.

Cementos Pacasmayo S.A.A. is a cement company, located in the Northern
region of Peru. In February 2012, the Company's shares were listed on
The New York Stock Exchange - Euronext under the ticker symbol "CPAC".
With more than 59 years of operating history, the Company produces,
distributes and sells cement and cement-related materials, such as
concrete blocks and ready-mix concrete. Cementos Pacasmayo's products
are primarily used in construction, which has been one of the
fastest-growing segments of the Peruvian economy in recent years. The
Company also produces and sells quicklime for use in mining operations.

For more information, please visit:

This press release may contain forward-looking statements. These
statements are statements that are not historical facts, and are based
on management's current view and estimates of future economic
circumstances, industry conditions, Company performance and financial
results. Also, certain reclassifications have been made to make figures
comparable for the periods. The words "anticipates", "believes",
"estimates", "expects", "plans" and similar expressions, as they relate
to the Company, are intended to identify forward-looking statements.
regarding the declaration or payment of dividends, the implementation of
principal operating and financing strategies and capital expenditure
plans, the direction of future operations and the factors or trends
affecting financial condition, liquidity or results of operations are
examples of forward-looking statements.
Such statements reflect
the current views of management and are subject to a number of risks and
There is no guarantee that the expected events,
trends or results will actually occur.
The statements are based
on many assumptions and factors, including general economic and market
conditions, industry conditions, and operating factors.
changes in such assumptions or factors could cause actual results to
differ materially from current expectations.

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