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GCC cement sales volumes increase 18.2% in the first 11 months of 2017

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  • October and November U.S. cement sales volumes grew 31.2%
  • Mexico cement sales volumes rose 10.2% in last two months

CHIHUAHUA, Mexico, Dec. 13, 2017 (GLOBE NEWSWIRE) -- Grupo Cementos de Chihuahua, S.A.B. de C.V., or GCC, (BMV:GCC*) announces that total cement sales volumes increased 18.2% in the first eleven months of 2017, largely on the strength of strong United States cement sales in October and November.  The U.S. generates around 75% of GCC's revenues.

October and November U.S. cement sales volumes were up 31.2% compared to the same period of 2016.  For the first 11 months, U.S. cement volumes increased 28.8% from the comparable 2016 period. The increase reflects strong demand and GCC's acquisitions in Texas and New Mexico late last year.

October and November sales volumes in Mexico also grew 10.2%, rebounding from decreases earlier in the year.  For the first 11 months, Mexico cement volumes decreased 1.6%.

GCC total cement sales volumes reached almost 4 million metric tons for the January-November period, a new record for the company. 

GCC´s Chief Executive Officer, Enrique Escalante said: "GCC reached record cement sales volumes as a result of strong demand and high level of backlog in our core markets, especially West Texas, Colorado, South Dakota, and the state of Chihuahua. In addition, builders and contractors enjoyed favorable weather in October and November, which offset the effect of some weather and project-related delays in the third quarter.   As a result, we are confident that GCC will significantly exceed our U.S. volume outlook for the year and, as a result, also surpass our EBITDA growth target."

The company now expects consolidated EBITDA growth for 2017 to be greater than 25%, compared to the previous outlook of approximately 20%.

For further information, contact:

GCC Investor Relations:  
Ricardo Martinez
+52 (614) 442 3176
rmartinezg@gcc.com
Daniel Wilson, Zemi Communications
+1 212 689 9560
dbmwilson@zemi.com

About GCC

GCC is a leading supplier of cement, concrete, aggregates, and construction‐related services in the United States and Mexico, with an annual cement production capacity of 5.1 million metric tons. Founded in 1941, the Company's shares are listed on the Mexican Stock Exchange under the ticker symbol GCC.

Forward Looking Statements

This press release may contain forward-looking statements. All statements that are not clearly historical in nature are forward-looking, and the words "anticipate," "believe," "expect," "estimate," "intend," "project" and similar expressions are generally intended to identify forward-looking statements. These statements are subject to risks and uncertainties including, among others, changes in macroeconomic, political, governmental or business conditions in the markets where GCC operates; changes in interest rates, inflation rates and currency exchange rates; performance of the construction industry; pricing, business strategy, and other factors. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may differ materially from the beliefs, projections, and estimates described herein. GCC assumes no obligation to update the information contained in this press release.

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