Recent Quotes View Full List My Watchlist Create Watchlist Indicators DJI Nasdaq Composite SPX Gold Crude Oil EL&P Market Index Markets Stocks ETFs Tools Overview News Currencies International Treasuries Loma Negra Reports 2Q22 Results By: Loma Negra via Business Wire August 11, 2022 at 17:21 PM EDT Loma Negra, (NYSE: LOMA; BYMA: LOMA), (“Loma Negra” or the “Company”), the leading cement producer in Argentina, today announced results for the three-month period ended June 30, 2022 (our “2Q22 Results”). 2Q22 Key Highlights Net sales revenues increased by 8.0% YoY to Ps. 25,268 million (US$ 204 million), mainly explained by the increase in Cement sales, coupled with a good performance of the other segments, mainly Concrete and Aggregates. Consolidated Adjusted EBITDA reached Ps. 7,328 million (US$ 63 million), increasing 2.6% YoY. The Consolidated Adjusted EBITDA margin contracted 151 basis points YoY from 30.5% to 29.0%. Net Profit of Ps. 2,413 million, showing an increase of Ps. 4,488 million versus the same period of the previous year, mainly explained by a better operating result and a lower tax burden due to the increase in the income tax rate that affected 2Q21. During the quarter, we granted a dividend payment of Ps. 5,150 million, Ps. 8.80 per outstanding share (Ps. 43.99 per ADR). Net Debt /LTM Adjusted EBITDA ratio of 0.01x compared with -0.12x in FY21. The Company has presented certain financial figures, Table 1b and Table 11, in U.S. dollars and Pesos without giving effect to IAS 29. The Company has prepared all other financial information herein by applying IAS 29. Commenting on the financial and operating performance for the second quarter of 2022, Sergio Faifman, Loma Negra’s Chief Executive Officer, noted: “We are pleased to present another quarter with excellent results, mainly based on our cement business. Demand is going through a very solid moment that made this the best second quarter in history for the cement market, also marking a maximum for the first six months of 2022. This year we are on track to set a new historical dispatch record. At this auspicious moment for the industry, LOMA once again shows an excellent performance, at this auspicious moment for the industry, LOMA once again shows an excellent performance, demonstrating its operational capacity and flexibility, largely as a result of the recent investments in capacity, to efficiently face complex circumstances such as the global energy crisis or the prevailing uncertainty in the Argentine economy. Loma maintains its focus on results, which has allowed us to achieve high profitability standards, achieving a record EBITDA of 63 million dollars for a second quarter, reaching 36.5 dollars per ton. Likewise, after having completed the second line of L'Amalí Plant, and as a way of allocating our cash generation, this year we decided to resume dividend payments, seeking to maximize value for shareholders. In this sense, to the dividends payment made in April of this year, we added a second dividend distribution in June of 81 million dollars, leveraged on the Company's solid balance sheet, totalizing 126 million dollars for the year. As always, I would like to thank everyone who forms the LOMA team, who with their effort and dedication make these results possible, always with the support of our customers, suppliers, and the communities where we responsibly operate” Table 1: Financial Highlights (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Net revenue 25,268 23,399 8.0% 47,919 47,371 1.2% Gross Profit 7,093 7,049 0.6% 14,651 15,738 -6.9% Gross Profit margin 28.1% 30.1% -205 bps 30.6% 33.2% -265 bps Adjusted EBITDA 7,328 7,140 2.6% 14,934 15,702 -4.9% Adjusted EBITDA Mg. 29.0% 30.5% -151 bps 31.2% 33.1% -198 bps Net Profit (Loss) 2,413 (2,075) n/a 6,090 2,597 134.5% Net Profit attributable to owners of the Company 2,489 (2,025) n/a 6,206 2,707 129.2% EPS 4.2517 (3.3967) n/a 10.5949 4.5419 133.3% Average outstanding shares (*) 585 596 -1.8% 586 596 -1.7% Net Debt 305 4,073 -92.5% 305 4,073 -92.5% Net Debt /LTM Adjusted EBITDA 0.01x 0.12x -0.92x 0.01x 0.12x -0.92x (*) Net of shares repurchased Table 1b: Financial Highlights in Ps and in U.S. dollars (figures exclude the impact of IAS 29) In million Ps. Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Net revenue 24,064 13,829 74.0% 42,327 26,464 59.9% Adjusted EBITDA 7,409 4,484 65.2% 13,752 9,116 50.9% Adjusted EBITDA Mg. 30.8% 32.4% -163 bps 32.5% 34.4% -196 bps Net Profit (Loss) 6,516 4,628 40.8% 12,600 7,888 59.7% Net Debt 305 4,073 -92.5% 305 4,073 -92.5% Net Debt /LTM Adjusted EBITDA 0.01x 0.12x -0.92x 0.01x 0.12x -0.92x In million US$ Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Ps./US$, av 118.03 94.09 25.4% 112.21 91.37 22.8% Ps./US$, eop 125.22 95.73 30.8% 125.22 95.73 30.8% Net revenue 204 147 38.7% 377 290 30.2% Adjusted EBITDA 63 48 31.7% 123 100 22.8% Adjusted EBITDA Mg. 30.8% 32.4% -163 bps 32.5% 34.4% -196 bps Net Profit (Loss) 55 49 12.3% 112 86 30.1% Net Debt 2 43 -94.3% 2 43 -94.3% Net Debt /LTM Adjusted EBITDA 0.01x 0.12x -0.92x 0.01x 0.12x -0.92x Overview of Operations Sales Volumes Table 2: Sales Volumes2 Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Cement, masonry & lime MM Tn 1.67 1.40 19.3% 3.15 2.79 13.0% Concrete MM m3 0.15 0.12 26.3% 0.26 0.27 -3.3% Railroad MM Tn 1.18 1.06 11.4% 2.23 2.05 8.9% Aggregates MM Tn 0.32 0.20 64.7% 0.57 0.38 50.8% 2 Sales volumes include inter-segment sales Sales volumes of cement, masonry, and lime during 2Q22 increased by 19.3% to 1.7 million tons, mainly leveraged by the growth of bulk cement. Sales of bagged cement maintain their trend, supported by a strong demand from the retail sector, while bulk cement continues to be the dispatch mode that is showing the highest year-on-year growth, driven by a higher level of activity in private infrastructure projects, residential and industrial, coupled with a moderate recovery in public works at the municipal and provincial levels. Regarding the volume of the Concrete segment, it registered an increase of 26.3% YoY. The volume of concrete is showing a good performance, following the trend of bulk cement. On the other hand, Aggregates had a strong increase of 64.7% YoY sustained mainly by the improvement in production, which allowed accompanying the reactivation of the concrete sector and certain road works in the Buenos Aires area, registering a monthly dispatch record in June for that month of the year. Likewise, the volumes of the railway segment experienced a growth of 11.4% compared to the same quarter of 2021, where the strong level of activity in the construction sector translated into a notable increase in transported volumes of stone and cement, followed by the chemical category, while there was a decrease in the transport of fracsand. Review of Financial Results Table 3: Condensed Interim Consolidated Statements of Profit or Loss and Other Comprehensive Income (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Net revenue 25,268 23,399 8.0% 47,919 47,371 1.2% Cost of sales (18,175) (16,350) 11.2% (33,268) (31,633) 5.2% Gross profit 7,093 7,049 0.6% 14,651 15,738 -6.9% Share of loss of associates - - n/a - - n/a Selling and administrative expenses (2,208) (2,018) 9.4% (4,350) (3,981) 9.3% Other gains and losses (23) 139 n/a 12 216 -94.4% Impairment of property, plant and equipment - - n/a - - n/a Tax on debits and credits to bank accounts (255) (260) -1.7% (480) (487) -1.5% Finance gain (cost), net Gain on net monetary position 629 905 -30.5% 1,625 1,920 -15.4% Exchange rate differences (398) 317 n/a (578) 355 n/a Financial income 57 146 -60.8% 77 222 -65.3% Financial expense (598) (889) -32.8% (1,174) (1,762) -33.4% Profit (Loss) before taxes 4,298 5,389 -20.2% 9,783 12,222 -20.0% Income tax expense Current (30) (2,520) -98.8% (2,250) (5,349) -57.9% Deferred (1,855) (4,944) -62.5% (1,443) (4,277) -66.3% Net profit (Loss) 2,413 (2,075) n/a 6,090 2,597 134.5% Net Revenues Net revenue increased 8.0% to Ps. 25,268 million in 2Q22, from Ps. 23,399 million in the comparable quarter last year, driven by an increase in Cement, coupled with a positive performance of the other segments. Cement, masonry cement and lime segment was up 6.2% YoY, with volumes expanding 19.3% impacted by price dynamics. Concrete registered an increase in its topline of 27.5% compared with 2Q21, sustained by a 26.3% increase in volume, also accompanied by an improvement in prices. The Aggregates segment recorded a strong increase in revenues of 105.2%, supported by a volume increase of 64.7% YoY combined with good price performance. Railroad revenues increased 5.6% in 2Q22 compared to the same quarter of 2021, mainly explained by an increase in transported volumes of construction materials that compensated for lower price dynamics, in part due to the drop in the average distance transported as a result of the decrease in the transported volume of fracsand. Cost of sales, and Gross profit Cost of sales increased 11.2% YoY, reaching Ps. 18,175 million in 2Q22, mainly as a result of a higher volume sold and the increase in depreciation due to the impact of the new production line in L'Amalí, partially offset by the favorable evolution of unitary costs, due to operating efficiencies and where the increases in dollars of energy inputs saw their impact softened by the evolution of the exchange rate. Gross Profit remained stable, registering a slight improvement of 0.6% YoY to Ps. 7,093 million in 2Q22, from Ps. 7,049 million in 2Q21, with a gross profit margin that contracted 205 basis points YoY to 28.1%. Selling and Administrative Expenses Selling and administrative expenses (SG&A) in 2Q22 increased by 9.4% YoY to Ps. 2,208 million, from Ps. 2,018 million in 2Q21, mainly as a result of higher expenses in salaries, freight and insurances compared to the previous year. As a percentage of sales, SG&A showed a slight increase against 2Q21 of 11 basis points, reaching 9.5%. Adjusted EBITDA & Margin Table 4: Adjusted EBITDA Reconciliation & Margin (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Adjusted EBITDA reconciliation: Net profit (Loss) 2,413 (2,075) n/a 6,090 2,597 134.5% (+) Depreciation and amortization 2,465 1,970 25.1% 4,621 3,729 23.9% (+) Tax on debits and credits to bank accounts 255 260 -1.7% 480 487 -1.5% (+) Income tax expense 1,884 7,464 -74.8% 3,693 9,625 -61.6% (+) Financial interest, net 387 689 -43.8% 808 1,373 -41.2% (+) Exchange rate differences, net 398 (317) n/a 578 (355) n/a (+) Other financial expenses, net 154 55 179.3% 289 167 73.3% (+) Gain on net monetary position (629) (905) -30.5% (1,625) (1,920) -15.4% (+) Share of profit (loss) of associates - - n/a - - n/a (+) Impairment of property, plant and equipment - - n/a - - n/a Adjusted EBITDA 7,328 7,140 2.6% 14,934 15,702 -4.9% Adjusted EBITDA Margin 29.0% 30.5% -151 bps 31.2% 33.1% -198 bps Adjusted EBITDA increased 2.6% YoY in the second quarter of 2022 to Ps. 7,328 million from 7,140 in the same period of the previous year driven by our cement business and accompanied by improvements in Concrete and Aggregates. Likewise, the Adjusted EBITDA margin contracted 151 basis points to 29.0% compared to 30.5% in 2Q21, mainly due to the compression of the cement margin and the higher incidence of other businesses with lower margins, due to the increase in their activity levels. In particular, the Adjusted EBITDA margin of the Cement, Masonry and Lime segment contracted 155 bps to 32.5%, mainly due to lower price performance partially offset by favorable cost management and higher operating leverage. Concrete Adjusted EBITDA margin showed a significant improvement of 371 bps, but still remaining in negative figures, reaching -3.1%, from a negative margin of 6.8% in 2Q21, supported by a volume recovery and higher efficiencies operational. The Adjusted EBITDA margin of Aggregates stood at 9.7%, showing an improvement of 203 basis points compared to 2Q21, due to a strong recovery in revenues due to the increase in sales volumes and the positive performance of the price. The Adjusted EBITDA margin of Aggregates stood at 9.7%, showing an improvement of 203 basis points compared to 2Q21, due to a strong recovery in revenues caused by an increase in sales volumes and the positive performance of the price. Finally, the Adjusted EBITDA margin of the Railroad segment decreased 144 bps to 3.4% in the second quarter, from 4.9%, where the improvement in the transported volumes did not manage to compensate the negative performance of the price, mainly affected by the reduction in the average transported distance due to changes in the mix of transported products. Finance Costs-Net Table 5: Finance Gain (Cost), net (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Exchange rate differences (398) 317 n/a (578) 355 n/a Financial income 57 146 -60.8% 77 222 -65.3% Financial expense (598) (889) -32.8% (1,174) (1,762) -33.4% Gain on net monetary position 629 905 -30.5% 1,625 1,920 -15.4% Total Finance Gain (Cost), Net (310) 479 n/a (50) 736 n/a During 2Q22, the Company reported a total net financial cost of Ps. 310 million compared to a total net financial income of Ps. 479 million in 2Q21, mainly explained by the effect of the variation between the mix of assets and liabilities in foreign currency and the evolution of the exchange rate and inflation, partially offset by a lower net financial cost and a lower positive effect of the result on the monetary position. Net Profit and Net Profit Attributable to Owners of the Company Net Profit for 2Q22 reached Ps. 2,413 million compared to a loss of Ps. 2,075 million in the same period last year, mainly due to the change in the income tax rate that strongly affected the deferred tax in 2Q21. Likewise, the current tax for 2Q22 is reduced by the effect of the amortization of the second line of the L'Amalí Plant. Net Profit Attributable to Owners of the Company reached Ps. 2,489 million. During the quarter, the Company reported earnings per common share of Ps. 4.2517 and an ADR gain of Ps. 21.2583, compared to a loss per common share of Ps. 3.3967 and an ADR loss of Ps. 16.9837 in 2Q21. Capitalization Table 6: Capitalization and Debt Ratio (amounts expressed in millions of pesos, unless otherwise noted) As of June 30, As of December, 31 2022 2021 2021 Total Debt 13,598 8,852 3,419 - Short-Term Debt 6,375 7,939 2,876 - Long-Term Debt 7,224 914 543 Cash, Cash Equivalents and Investments (13,293) (4,779) 7,177 Total Net Debt 305 4,073 (3,758) Shareholder's Equity 98,436 94,576 98,724 Capitalization 112,034 103,429 102,143 LTM Adjusted EBITDA 30,716 33,166 31,484 Net Debt /LTM Adjusted EBITDA 0.01x 0.12x -0.12x As of June 30, 2022, total Cash, Cash Equivalents, and Investments were Ps. 13,293 million compared with Ps. 4,779 million as of the June 30, 2021. Total debt at the close of the quarter stood at Ps. 13,598 million, composed by Ps. 6,375 million in short-term borrowings, including the current portion of long-term borrowings (or 46.9% of total borrowings), and Ps. 7,224 million in long-term borrowings (or 53.1% of total borrowings). At the end of the second quarter of 2022, 57.6% (or Ps. 7,830 million) of Loma Negra's total debt was denominated in US dollars, while 42.4% (or Ps. 5,768 million) was in Argentine pesos. The average duration of Loma Negra's total debt was 1.2 years. As of June 30, 2022, 59.6% of the Company's consolidated loans accrued interest at a variable rate. The debt denominated in dollars with rates based on Libor, while the portion in Argentine pesos accrued interest at the short-term market rate. The remaining 40.4% accrues interest at a fixed rate in pesos. The Net Debt to Adjusted EBITDA (LTM) ratio increased to 0.01x as of June 30, 2022, from -0.12x as of December 31, 2021, as a result of an increase in the debt, partially compensated by our strong cash generation. Cash Flows Table 7: Condensed Interim Consolidated Statement of Cash Flows (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 2022 2021 CASH FLOWS FROM OPERATING ACTIVITIES Net Profit (Loss) 2,413 (2,075) 6,090 2,597 Adjustments to reconcile net profit (loss) to net cash provided by operating activities 4,618 9,145 8,674 12,958 Changes in operating assets and liabilities (5,061) (7,115) (10,088) (10,270) Net cash generated by operating activities 1,971 (45) 4,676 5,284 CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from disposal of Yguazú Cementos S.A. (0) 238 65 410 Property, plant and equipment, Intangible Assets, net (1,099) (2,199) (1,839) (4,059) Contributions to Trust (33) (32) (72) (69) Investments, net (0) (0) (0) (3,044) Net cash (used in) investing activities (1,132) (1,993) (1,846) (6,762) CASH FLOWS FROM FINANCING ACTIVITIES Proceeds / Repayments from borrowings, Interest paid 12,371 (2,861) 10,189 (3,667) Dividends paid (5,681) (0) (5,681) - Share repurchase plan 0 (838) (714) (1,302) Net cash generated by (used in) by financing activities 6,690 (3,699) 3,793 (4,970) Net increase (decrease) in cash and cash equivalents 7,528 (5,737) 6,624 (6,448) Cash and cash equivalents at the beginning of the year 3,537 7,936 4,501 8,992 Effect of the re-expression in homogeneous cash currency ("Inflation-Adjusted") (88) (90) (224) (155) Effects of the exchange rate differences on cash and cash equivalents in foreign currency (78) (207) (2) (486) Cash and cash equivalents at the end of the period 10,898 1,903 10,898 1,903 In 2Q22, our operating cash generation stood at Ps. 1,971 million, compared to Ps. -45 million in the same period of the previous year, reflecting a higher level of profitability and the effect of the divestment in Yguazú Cementos that impacted the income tax paid in 2Q21. During this quarter, we began to use our clinker stock, although due to the sustained demand and the availability of natural gas, we extended the operation of the kilns by adapting the maintenance plans. During 2Q22, the Company generated cash from financing activities for Ps. 6,690 million, product of the loans taken in the quarter and the application of funds for the distribution of dividends of Ps. 5,150 million approved in April. Regarding cash used in investing activities, the Company used a total of Ps. 1,132. The completion of the L'Amalí expansion project significantly reduced the need for capital expenditure. Recent Events Dividends Distribution On July 1, 2022, the board of directors approved the payment of dividends for a total amount of Ps. 10,300 million equivalents to Ps. 17.59 per outstanding share (Ps. 87.97 per ADS), through the partial allocation of funds from the Reserve for Future Dividends. As of the date of the presentation of this earnings release, the total amount of dividends was distributed. 2Q22 Earnings Conference Call When: 11:00 a.m. U.S. ET (12:00 a.m. BAT), August 12, 2022 Dial-in: 0800-444-2930 (Argentina), 1-833-255-2824 (U.S.), 1-866-605-3852 (Canada), 1-412-902-6701 (International) Password: Loma Negra Call Webcast: https://event.choruscall.com/mediaframe/webcast.html?webcastid=AQO4ZTqA Replay: A telephone replay of the conference call will be available between August 13, 2022, at 1:00 pm U.S. E.T. and ending on August 19, 2022. The replay can be accessed by dialing 1-877-344-7529 (U.S. toll free), or 1-412-317-0088 (International). The passcode for the replay is 10158956. The audio of the conference call will also be archived on the Company’s website at www.lomanegra.com Definitions Adjusted EBITDA is calculated as net profit plus financial interest, net plus income tax expense plus depreciation and amortization plus exchange rate differences plus other financial expenses, net plus tax on debits and credits to bank accounts, plus share of loss of associates, plus net Impairment of Property, plant and equipment, and less income from discontinued operation. Loma Negra believes that excluding tax on debits and credits to bank accounts from its calculation of Adjusted EBITDA is a better measure of operating performance when compared to other international players. Net Debt is calculated as borrowings less cash, cash equivalents and marketable securities. About Loma Negra Founded in 1926, Loma Negra is the leading cement company in Argentina, producing and distributing cement, masonry cement, aggregates, concrete and lime, products primarily used in private and public construction. Loma Negra is a vertically-integrated cement and concrete company, with nationwide operations, supported by vast limestone reserves, strategically located plants, top-of-mind brands and established distribution channels. Loma Negra is listed both on BYMA and on NYSE in the U.S., where it trades under the symbol “LOMA”. One ADS represents five (5) common shares. For more information, visit www.lomanegra.com. Note The Company presented some figures converted from Pesos to U.S. dollars for comparison purposes. The exchange rate used to convert Pesos to U.S. dollars was the reference exchange rate (Communication “A” 3500) reported by the Central Bank for U.S. dollars. The information presented in U.S. dollars is for the convenience of the reader only. Certain figures included in this report have been subject to rounding adjustments. Accordingly, figures shown as totals in certain tables may not be arithmetic aggregations of the figures presented in previous quarters. Rounding: We have made rounding adjustments to reach some of the figures included in this annual report. As a result, numerical figures shown as totals in some tables may not be an arithmetic aggregation of the figures that preceded them. Disclaimer This release contains forward-looking statements within the meaning of federal securities law that are subject to risks and uncertainties. These statements are only predictions based upon our current expectations and projections about possible or assumed future results of our business, financial condition, results of operations, liquidity, plans and objectives. In some cases, you can identify forward-looking statements by terminology such as “believe,” “may,” “estimate,” “continue,” “anticipate,” “intend,” “should,” “plan,” “expect,” “predict,” “potential,” “seek,” “forecast,” or the negative of these terms or other similar expressions. The forward-looking statements are based on the information currently available to us. There are important factors that could cause our actual results, level of activity, performance or achievements to differ materially from the results, level of activity, performance or achievements expressed or implied by the forward-looking statements, including, among others things: changes in general economic, political, governmental and business conditions globally and in Argentina, changes in inflation rates, fluctuations in the exchange rate of the peso, the level of construction generally, changes in cement demand and prices, changes in raw material and energy prices, changes in business strategy and various other factors. You should not rely upon forward-looking statements as predictions of future events. Although we believe in good faith that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee that future results, levels of activity, performance and events and circumstances reflected in the forward-looking statements will be achieved or will occur. Any or all of Loma Negra’s forward-looking statements in this release may turn out to be wrong. You should consider these forward-looking statements in light of other factors discussed under the heading “Risk Factors” in the prospectus filed with the Securities and Exchange Commission on October 31, 2017 in connection with Loma Negra’s initial public offering. Therefore, readers are cautioned not to place undue reliance on these forward-looking statements. Except as required by law, we undertake no obligation to update publicly any forward-looking statements for any reason after the date of this release to conform these statements to actual results or to changes in our expectations. --- Financial Tables Follow --- Table 8: Condensed Interim Consolidated Statements of Financial Position (amounts expressed in millions of pesos, unless otherwise noted) As of June 30, As of December 31, 2022 2021 ASSETS Non-current assets Property, plant and equipment 107,922 110,685 Right to use assets 367 422 Intangible assets 325 394 Investments 7 7 Goodwill 71 71 Inventories 4,317 4,199 Other receivables 844 946 Total non-current assets 113,855 116,724 Current assets Inventories 14,441 11,842 Other receivables 1,793 1,621 Trade accounts receivable 5,935 5,393 Investments 12,522 6,726 Cash and banks 771 450 Total current assets 35,464 26,032 TOTAL ASSETS 149,319 142,757 SHAREHOLDER'S EQUITY Capital stock and other capital related accounts 27,050 27,731 Reserves 65,068 61,798 Retained earnings 6,206 8,967 Accumulated other comprehensive income - - Equity attributable to the owners of the Company 98,323 98,496 Non-controlling interests 113 228 TOTAL SHAREHOLDER'S EQUITY 98,436 98,724 LIABILITIES Non-current liabilities Borrowings 7,224 543 Accounts payables - - Provisions 765 772 Salaries and social security payables 42 69 Debts for leases 261 320 Other liabilities 118 194 Deferred tax liabilities 20,929 19,486 Total non-current liabilities 29,338 21,385 Current liabilities Borrowings 6,375 2,876 Accounts payable 9,943 10,724 Advances from customers 954 1,398 Salaries and social security payables 2,584 2,770 Tax liabilities 1,431 4,555 Debts for leases 85 108 Other liabilities 173 218 Total current liabilities 21,544 22,648 TOTAL LIABILITIES 50,883 44,033 TOTAL SHAREHOLDER'S EQUITY AND LIABILITIES 149,319 142,757 Table 9: Condensed Interim Consolidated Statements of Profit or Loss and Other Comprehensive Income (unaudited) (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 % Change 2022 2021 % Change Net revenue 25,268 23,399 8.0% 47,919 47,371 1.2% Cost of sales (18,175) (16,350) 11.2% (33,268) (31,633) 5.2% Gross Profit 7,093 7,049 0.6% 14,651 15,738 -6.9% Share of loss of associates - - n/a - - n/a Selling and administrative expenses (2,208) (2,018) 9.4% (4,350) (3,981) 9.3% Other gains and losses (23) 139 n/a 12 216 -94.4% Impairment of property, plant and equipment - - n/a - - n/a Tax on debits and credits to bank accounts (255) (260) -1.7% (480) (487) -1.5% Finance gain (cost), net Gain on net monetary position 629 905 -30.5% 1,625 1,920 -15.4% Exchange rate differences (398) 317 n/a (578) 355 n/a Financial income 57 146 -60.8% 77 222 -65.3% Financial expenses (598) (889) -32.8% (1,174) (1,762) -33.4% Profit (loss) before taxes 4,298 5,389 -20.2% 9,783 12,222 -20.0% Income tax expense Current (30) (2,520) -98.8% (2,250) (5,349) -57.9% Deferred (1,855) (4,944) -62.5% (1,443) (4,277) -66.3% Net Profit (Loss) 2,413 (2,075) n/a 6,090 2,597 134.5% Net Profit (Loss) for the period attributable to: Owners of the Company 2,489 (2,025) n/a 6,206 2,707 129.2% Non-controlling interests (76) (50) 49.7% (116) (111) 4.7% NET PROFIT (LOSS) FOR THE PERIOD 2,413 (2,075) n/a 6,090 2,597 134.5% Earnings per share (basic and diluted): 4.2517 (3.3967) n/a 10.5949 4.5419 133.3% Table 10: Condensed Interim Consolidated Statement of Cash Flows (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 2022 2021 CASH FLOWS FROM OPERATING ACTIVITIES Net Profit (Loss) 2,413 (2,075) 6,090 2,597 Adjustments to reconcile net profit to net cash provided by operating activities Income tax expense 1,884 7,464 3,693 9,625 Depreciation and amortization 2,465 1,970 4,621 3,729 Provisions 57 (33) 107 (35) Exchange rate differences (78) (556) (288) (831) Interest expense 265 348 458 529 Share of loss of associates - - - - Gain on disposal of property, plant and equipment 4 (87) (14) (123) Gain on disposal of shareholding of Yguazú Cementos S.A. - - - - Impairment of property, plant and equipment - - - - Impairment of trust fund 26 39 64 63 Share-based payment (6) - 33 - Changes in operating assets and liabilities Inventories (1,698) (154) (3,062) (1,107) Other receivables (528) (56) (507) (552) Trade accounts receivable (1,183) (659) (2,015) (1,391) Advances from customers 153 (278) (303) (318) Accounts payable 1,686 211 1,073 518 Salaries and social security payables 159 197 501 496 Provisions (11) (23) (57) (40) Tax liabilities 683 (324) 824 (117) Other liabilities (93) (73) (130) (172) Gain on net monetary position (629) (905) (1,625) (1,920) Income tax paid (3,601) (5,050) (4,788) (5,667) Net cash generated by (used in) operating activities 1,971 (45) 4,676 5,284 CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from disposal of Yguazú Cementos S.A. (0) 238 65 410 Proceeds from disposal of Property, plant and equipment 24 49 25 116 Payments to acquire Property, plant and equipment (1,119) (2,248) (1,861) (4,175) Payments to acquire Intangible Assets (3) - (3) - Acquire investments (0) (0) (0) (3,044) Proceeds from maturity investments - - Contributions to Trust (33) (32) (72) (69) Net cash generated by (used in) investing activities (1,132) (1,993) (1,846) (6,762) CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from borrowings 13,038 610 14,079 770 Interest paid (83) (114) (246) (435) Dividends paid (5,681) (0) (5,681) - Debts for leases (46) (59) (79) (130) Repayment of borrowings (538) (3,297) (3,566) (3,873) Share repurchase plan 0 (838) (714) (1,302) Net cash generated by (used in) financing activities 6,690 (3,699) 3,793 (4,970) Net increase (decrease) in cash and cash equivalents 7,528 (5,737) 6,624 (6,448) Cash and cash equivalents at the beginning of the period 3,537 7,936 4,501 8,992 Effect of the re-expression in homogeneous cash currency ("Inflation-Adjusted") (88) (90) (224) (155) Effects of the exchange rate differences on cash and cash equivalents in foreign currency (78) (207) (2) (486) Cash and cash equivalents at the end of the period 10,898 1,903 10,898 1,903 Table 11: Financial Data by Segment (figures exclude the impact of IAS 29) (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 % 2021 % 2022 % 2021 % Net revenue 24,064 100.0% 13,829 100.0% 42,327 100.0% 26,464 100.0% Cement, masonry cement and lime 21,203 88.1% 12,392 89.6% 37,383 88.3% 23,709 89.6% Concrete 1,949 8.1% 947 6.8% 3,328 7.9% 2,033 7.7% Railroad 2,028 8.4% 1,194 8.6% 3,576 8.4% 2,108 8.0% Aggregates 627 2.6% 190 1.4% 1,003 2.4% 318 1.2% Others 157 0.7% 68 0.5% 308 0.7% 140 0.5% Eliminations (1,900) -7.9% (961) -6.9% (3,270) -7.7% (1,844) -7.0% Cost of sales 15,432 100.0% 8,668 100.0% 26,279 100.0% 16,071 100.0% Cement, masonry cement and lime 12,840 83.2% 7,268 83.8% 21,798 82.9% 13,311 82.8% Concrete 1,910 12.4% 1,026 11.8% 3,222 12.3% 2,186 13.6% Railroad 1,952 12.6% 1,117 12.9% 3,430 13.1% 2,022 12.6% Aggregates 532 3.4% 169 2.0% 907 3.5% 302 1.9% Others 99 0.6% 49 0.6% 192 0.7% 93 0.6% Eliminations (1,900) -12.3% (961) -11.1% (3,270) -12.4% (1,844) -11.5% Selling, admin. expenses and other gains & losses 1,944 100.0% 1,048 100.0% 3,611 100.0% 1,992 100.0% Cement, masonry cement and lime 1,709 87.9% 949 90.5% 3,176 87.9% 1,789 89.8% Concrete 78 4.0% 0 0.0% 145 4.0% 22 1.1% Railroad 112 5.8% 72 6.9% 196 5.4% 127 6.4% Aggregates 6 0.3% 2 0.2% 10 0.3% 4 0.2% Others 39 2.0% 25 2.4% 84 2.3% 49 2.5% Depreciation and amortization 722 100.0% 371 100.0% 1,316 100.0% 714 100.0% Cement, masonry cement and lime 547 75.8% 277 74.7% 1,001 76.1% 530 74.2% Concrete 23 3.2% 15 3.9% 34 2.6% 31 4.4% Railroad 142 19.6% 70 19.0% 263 20.0% 137 19.2% Aggregates 9 1.2% 7 2.0% 15 1.2% 13 1.8% Others 1 0.2% 1 0.4% 2 0.2% 3 0.4% Adjusted EBITDA 7,409 100.0% 4,484 100.0% 13,752 100.0% 9,116 100.0% Cement, masonry cement and lime 7,201 97.2% 4,452 99.3% 13,409 97.5% 9,139 100.3% Concrete (16) -0.2% (65) -1.4% (5) 0.0% (145) -1.6% Railroad 106 1.4% 75 1.7% 213 1.5% 95 1.0% Aggregates 98 1.3% 26 0.6% 101 0.7% 26 0.3% Others 21 0.3% (5) -0.1% 35 0.3% 0 0.0% Reconciling items: Effect by translation in homogeneous cash currency ("Inflation-Adjusted") (82) 2,656 1,182 6,586 Depreciation and amortization (2,465) (1,970) (4,621) (3,729) Tax on debits and credits banks accounts (255) (260) (480) (487) Finance gain (cost), net (310) 479 (50) 736 Income tax (1,884) (7,464) (3,693) (9,625) Share of profit of associates - - - - Impairment of property, plant and equipment - - - - NET PROFIT (LOSS) FOR THE PERIOD 2,413 (2,075) 6,090 2,597 View source version on businesswire.com: https://www.businesswire.com/news/home/20220811005722/en/Contacts IR Contacts Marcos I. Gradin, Chief Financial Officer and Investor Relations Diego M. Jalón, Investor Relations Manager +54-11-4319-3050 investorrelations@lomanegra.com Data & News supplied by www.cloudquote.io Stock quotes supplied by Barchart Quotes delayed at least 20 minutes. By accessing this page, you agree to the following Privacy Policy and Terms and Conditions.
Loma Negra Reports 2Q22 Results By: Loma Negra via Business Wire August 11, 2022 at 17:21 PM EDT Loma Negra, (NYSE: LOMA; BYMA: LOMA), (“Loma Negra” or the “Company”), the leading cement producer in Argentina, today announced results for the three-month period ended June 30, 2022 (our “2Q22 Results”). 2Q22 Key Highlights Net sales revenues increased by 8.0% YoY to Ps. 25,268 million (US$ 204 million), mainly explained by the increase in Cement sales, coupled with a good performance of the other segments, mainly Concrete and Aggregates. Consolidated Adjusted EBITDA reached Ps. 7,328 million (US$ 63 million), increasing 2.6% YoY. The Consolidated Adjusted EBITDA margin contracted 151 basis points YoY from 30.5% to 29.0%. Net Profit of Ps. 2,413 million, showing an increase of Ps. 4,488 million versus the same period of the previous year, mainly explained by a better operating result and a lower tax burden due to the increase in the income tax rate that affected 2Q21. During the quarter, we granted a dividend payment of Ps. 5,150 million, Ps. 8.80 per outstanding share (Ps. 43.99 per ADR). Net Debt /LTM Adjusted EBITDA ratio of 0.01x compared with -0.12x in FY21. The Company has presented certain financial figures, Table 1b and Table 11, in U.S. dollars and Pesos without giving effect to IAS 29. The Company has prepared all other financial information herein by applying IAS 29. Commenting on the financial and operating performance for the second quarter of 2022, Sergio Faifman, Loma Negra’s Chief Executive Officer, noted: “We are pleased to present another quarter with excellent results, mainly based on our cement business. Demand is going through a very solid moment that made this the best second quarter in history for the cement market, also marking a maximum for the first six months of 2022. This year we are on track to set a new historical dispatch record. At this auspicious moment for the industry, LOMA once again shows an excellent performance, at this auspicious moment for the industry, LOMA once again shows an excellent performance, demonstrating its operational capacity and flexibility, largely as a result of the recent investments in capacity, to efficiently face complex circumstances such as the global energy crisis or the prevailing uncertainty in the Argentine economy. Loma maintains its focus on results, which has allowed us to achieve high profitability standards, achieving a record EBITDA of 63 million dollars for a second quarter, reaching 36.5 dollars per ton. Likewise, after having completed the second line of L'Amalí Plant, and as a way of allocating our cash generation, this year we decided to resume dividend payments, seeking to maximize value for shareholders. In this sense, to the dividends payment made in April of this year, we added a second dividend distribution in June of 81 million dollars, leveraged on the Company's solid balance sheet, totalizing 126 million dollars for the year. As always, I would like to thank everyone who forms the LOMA team, who with their effort and dedication make these results possible, always with the support of our customers, suppliers, and the communities where we responsibly operate” Table 1: Financial Highlights (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Net revenue 25,268 23,399 8.0% 47,919 47,371 1.2% Gross Profit 7,093 7,049 0.6% 14,651 15,738 -6.9% Gross Profit margin 28.1% 30.1% -205 bps 30.6% 33.2% -265 bps Adjusted EBITDA 7,328 7,140 2.6% 14,934 15,702 -4.9% Adjusted EBITDA Mg. 29.0% 30.5% -151 bps 31.2% 33.1% -198 bps Net Profit (Loss) 2,413 (2,075) n/a 6,090 2,597 134.5% Net Profit attributable to owners of the Company 2,489 (2,025) n/a 6,206 2,707 129.2% EPS 4.2517 (3.3967) n/a 10.5949 4.5419 133.3% Average outstanding shares (*) 585 596 -1.8% 586 596 -1.7% Net Debt 305 4,073 -92.5% 305 4,073 -92.5% Net Debt /LTM Adjusted EBITDA 0.01x 0.12x -0.92x 0.01x 0.12x -0.92x (*) Net of shares repurchased Table 1b: Financial Highlights in Ps and in U.S. dollars (figures exclude the impact of IAS 29) In million Ps. Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Net revenue 24,064 13,829 74.0% 42,327 26,464 59.9% Adjusted EBITDA 7,409 4,484 65.2% 13,752 9,116 50.9% Adjusted EBITDA Mg. 30.8% 32.4% -163 bps 32.5% 34.4% -196 bps Net Profit (Loss) 6,516 4,628 40.8% 12,600 7,888 59.7% Net Debt 305 4,073 -92.5% 305 4,073 -92.5% Net Debt /LTM Adjusted EBITDA 0.01x 0.12x -0.92x 0.01x 0.12x -0.92x In million US$ Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Ps./US$, av 118.03 94.09 25.4% 112.21 91.37 22.8% Ps./US$, eop 125.22 95.73 30.8% 125.22 95.73 30.8% Net revenue 204 147 38.7% 377 290 30.2% Adjusted EBITDA 63 48 31.7% 123 100 22.8% Adjusted EBITDA Mg. 30.8% 32.4% -163 bps 32.5% 34.4% -196 bps Net Profit (Loss) 55 49 12.3% 112 86 30.1% Net Debt 2 43 -94.3% 2 43 -94.3% Net Debt /LTM Adjusted EBITDA 0.01x 0.12x -0.92x 0.01x 0.12x -0.92x Overview of Operations Sales Volumes Table 2: Sales Volumes2 Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Cement, masonry & lime MM Tn 1.67 1.40 19.3% 3.15 2.79 13.0% Concrete MM m3 0.15 0.12 26.3% 0.26 0.27 -3.3% Railroad MM Tn 1.18 1.06 11.4% 2.23 2.05 8.9% Aggregates MM Tn 0.32 0.20 64.7% 0.57 0.38 50.8% 2 Sales volumes include inter-segment sales Sales volumes of cement, masonry, and lime during 2Q22 increased by 19.3% to 1.7 million tons, mainly leveraged by the growth of bulk cement. Sales of bagged cement maintain their trend, supported by a strong demand from the retail sector, while bulk cement continues to be the dispatch mode that is showing the highest year-on-year growth, driven by a higher level of activity in private infrastructure projects, residential and industrial, coupled with a moderate recovery in public works at the municipal and provincial levels. Regarding the volume of the Concrete segment, it registered an increase of 26.3% YoY. The volume of concrete is showing a good performance, following the trend of bulk cement. On the other hand, Aggregates had a strong increase of 64.7% YoY sustained mainly by the improvement in production, which allowed accompanying the reactivation of the concrete sector and certain road works in the Buenos Aires area, registering a monthly dispatch record in June for that month of the year. Likewise, the volumes of the railway segment experienced a growth of 11.4% compared to the same quarter of 2021, where the strong level of activity in the construction sector translated into a notable increase in transported volumes of stone and cement, followed by the chemical category, while there was a decrease in the transport of fracsand. Review of Financial Results Table 3: Condensed Interim Consolidated Statements of Profit or Loss and Other Comprehensive Income (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Net revenue 25,268 23,399 8.0% 47,919 47,371 1.2% Cost of sales (18,175) (16,350) 11.2% (33,268) (31,633) 5.2% Gross profit 7,093 7,049 0.6% 14,651 15,738 -6.9% Share of loss of associates - - n/a - - n/a Selling and administrative expenses (2,208) (2,018) 9.4% (4,350) (3,981) 9.3% Other gains and losses (23) 139 n/a 12 216 -94.4% Impairment of property, plant and equipment - - n/a - - n/a Tax on debits and credits to bank accounts (255) (260) -1.7% (480) (487) -1.5% Finance gain (cost), net Gain on net monetary position 629 905 -30.5% 1,625 1,920 -15.4% Exchange rate differences (398) 317 n/a (578) 355 n/a Financial income 57 146 -60.8% 77 222 -65.3% Financial expense (598) (889) -32.8% (1,174) (1,762) -33.4% Profit (Loss) before taxes 4,298 5,389 -20.2% 9,783 12,222 -20.0% Income tax expense Current (30) (2,520) -98.8% (2,250) (5,349) -57.9% Deferred (1,855) (4,944) -62.5% (1,443) (4,277) -66.3% Net profit (Loss) 2,413 (2,075) n/a 6,090 2,597 134.5% Net Revenues Net revenue increased 8.0% to Ps. 25,268 million in 2Q22, from Ps. 23,399 million in the comparable quarter last year, driven by an increase in Cement, coupled with a positive performance of the other segments. Cement, masonry cement and lime segment was up 6.2% YoY, with volumes expanding 19.3% impacted by price dynamics. Concrete registered an increase in its topline of 27.5% compared with 2Q21, sustained by a 26.3% increase in volume, also accompanied by an improvement in prices. The Aggregates segment recorded a strong increase in revenues of 105.2%, supported by a volume increase of 64.7% YoY combined with good price performance. Railroad revenues increased 5.6% in 2Q22 compared to the same quarter of 2021, mainly explained by an increase in transported volumes of construction materials that compensated for lower price dynamics, in part due to the drop in the average distance transported as a result of the decrease in the transported volume of fracsand. Cost of sales, and Gross profit Cost of sales increased 11.2% YoY, reaching Ps. 18,175 million in 2Q22, mainly as a result of a higher volume sold and the increase in depreciation due to the impact of the new production line in L'Amalí, partially offset by the favorable evolution of unitary costs, due to operating efficiencies and where the increases in dollars of energy inputs saw their impact softened by the evolution of the exchange rate. Gross Profit remained stable, registering a slight improvement of 0.6% YoY to Ps. 7,093 million in 2Q22, from Ps. 7,049 million in 2Q21, with a gross profit margin that contracted 205 basis points YoY to 28.1%. Selling and Administrative Expenses Selling and administrative expenses (SG&A) in 2Q22 increased by 9.4% YoY to Ps. 2,208 million, from Ps. 2,018 million in 2Q21, mainly as a result of higher expenses in salaries, freight and insurances compared to the previous year. As a percentage of sales, SG&A showed a slight increase against 2Q21 of 11 basis points, reaching 9.5%. Adjusted EBITDA & Margin Table 4: Adjusted EBITDA Reconciliation & Margin (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Adjusted EBITDA reconciliation: Net profit (Loss) 2,413 (2,075) n/a 6,090 2,597 134.5% (+) Depreciation and amortization 2,465 1,970 25.1% 4,621 3,729 23.9% (+) Tax on debits and credits to bank accounts 255 260 -1.7% 480 487 -1.5% (+) Income tax expense 1,884 7,464 -74.8% 3,693 9,625 -61.6% (+) Financial interest, net 387 689 -43.8% 808 1,373 -41.2% (+) Exchange rate differences, net 398 (317) n/a 578 (355) n/a (+) Other financial expenses, net 154 55 179.3% 289 167 73.3% (+) Gain on net monetary position (629) (905) -30.5% (1,625) (1,920) -15.4% (+) Share of profit (loss) of associates - - n/a - - n/a (+) Impairment of property, plant and equipment - - n/a - - n/a Adjusted EBITDA 7,328 7,140 2.6% 14,934 15,702 -4.9% Adjusted EBITDA Margin 29.0% 30.5% -151 bps 31.2% 33.1% -198 bps Adjusted EBITDA increased 2.6% YoY in the second quarter of 2022 to Ps. 7,328 million from 7,140 in the same period of the previous year driven by our cement business and accompanied by improvements in Concrete and Aggregates. Likewise, the Adjusted EBITDA margin contracted 151 basis points to 29.0% compared to 30.5% in 2Q21, mainly due to the compression of the cement margin and the higher incidence of other businesses with lower margins, due to the increase in their activity levels. In particular, the Adjusted EBITDA margin of the Cement, Masonry and Lime segment contracted 155 bps to 32.5%, mainly due to lower price performance partially offset by favorable cost management and higher operating leverage. Concrete Adjusted EBITDA margin showed a significant improvement of 371 bps, but still remaining in negative figures, reaching -3.1%, from a negative margin of 6.8% in 2Q21, supported by a volume recovery and higher efficiencies operational. The Adjusted EBITDA margin of Aggregates stood at 9.7%, showing an improvement of 203 basis points compared to 2Q21, due to a strong recovery in revenues due to the increase in sales volumes and the positive performance of the price. The Adjusted EBITDA margin of Aggregates stood at 9.7%, showing an improvement of 203 basis points compared to 2Q21, due to a strong recovery in revenues caused by an increase in sales volumes and the positive performance of the price. Finally, the Adjusted EBITDA margin of the Railroad segment decreased 144 bps to 3.4% in the second quarter, from 4.9%, where the improvement in the transported volumes did not manage to compensate the negative performance of the price, mainly affected by the reduction in the average transported distance due to changes in the mix of transported products. Finance Costs-Net Table 5: Finance Gain (Cost), net (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Exchange rate differences (398) 317 n/a (578) 355 n/a Financial income 57 146 -60.8% 77 222 -65.3% Financial expense (598) (889) -32.8% (1,174) (1,762) -33.4% Gain on net monetary position 629 905 -30.5% 1,625 1,920 -15.4% Total Finance Gain (Cost), Net (310) 479 n/a (50) 736 n/a During 2Q22, the Company reported a total net financial cost of Ps. 310 million compared to a total net financial income of Ps. 479 million in 2Q21, mainly explained by the effect of the variation between the mix of assets and liabilities in foreign currency and the evolution of the exchange rate and inflation, partially offset by a lower net financial cost and a lower positive effect of the result on the monetary position. Net Profit and Net Profit Attributable to Owners of the Company Net Profit for 2Q22 reached Ps. 2,413 million compared to a loss of Ps. 2,075 million in the same period last year, mainly due to the change in the income tax rate that strongly affected the deferred tax in 2Q21. Likewise, the current tax for 2Q22 is reduced by the effect of the amortization of the second line of the L'Amalí Plant. Net Profit Attributable to Owners of the Company reached Ps. 2,489 million. During the quarter, the Company reported earnings per common share of Ps. 4.2517 and an ADR gain of Ps. 21.2583, compared to a loss per common share of Ps. 3.3967 and an ADR loss of Ps. 16.9837 in 2Q21. Capitalization Table 6: Capitalization and Debt Ratio (amounts expressed in millions of pesos, unless otherwise noted) As of June 30, As of December, 31 2022 2021 2021 Total Debt 13,598 8,852 3,419 - Short-Term Debt 6,375 7,939 2,876 - Long-Term Debt 7,224 914 543 Cash, Cash Equivalents and Investments (13,293) (4,779) 7,177 Total Net Debt 305 4,073 (3,758) Shareholder's Equity 98,436 94,576 98,724 Capitalization 112,034 103,429 102,143 LTM Adjusted EBITDA 30,716 33,166 31,484 Net Debt /LTM Adjusted EBITDA 0.01x 0.12x -0.12x As of June 30, 2022, total Cash, Cash Equivalents, and Investments were Ps. 13,293 million compared with Ps. 4,779 million as of the June 30, 2021. Total debt at the close of the quarter stood at Ps. 13,598 million, composed by Ps. 6,375 million in short-term borrowings, including the current portion of long-term borrowings (or 46.9% of total borrowings), and Ps. 7,224 million in long-term borrowings (or 53.1% of total borrowings). At the end of the second quarter of 2022, 57.6% (or Ps. 7,830 million) of Loma Negra's total debt was denominated in US dollars, while 42.4% (or Ps. 5,768 million) was in Argentine pesos. The average duration of Loma Negra's total debt was 1.2 years. As of June 30, 2022, 59.6% of the Company's consolidated loans accrued interest at a variable rate. The debt denominated in dollars with rates based on Libor, while the portion in Argentine pesos accrued interest at the short-term market rate. The remaining 40.4% accrues interest at a fixed rate in pesos. The Net Debt to Adjusted EBITDA (LTM) ratio increased to 0.01x as of June 30, 2022, from -0.12x as of December 31, 2021, as a result of an increase in the debt, partially compensated by our strong cash generation. Cash Flows Table 7: Condensed Interim Consolidated Statement of Cash Flows (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 2022 2021 CASH FLOWS FROM OPERATING ACTIVITIES Net Profit (Loss) 2,413 (2,075) 6,090 2,597 Adjustments to reconcile net profit (loss) to net cash provided by operating activities 4,618 9,145 8,674 12,958 Changes in operating assets and liabilities (5,061) (7,115) (10,088) (10,270) Net cash generated by operating activities 1,971 (45) 4,676 5,284 CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from disposal of Yguazú Cementos S.A. (0) 238 65 410 Property, plant and equipment, Intangible Assets, net (1,099) (2,199) (1,839) (4,059) Contributions to Trust (33) (32) (72) (69) Investments, net (0) (0) (0) (3,044) Net cash (used in) investing activities (1,132) (1,993) (1,846) (6,762) CASH FLOWS FROM FINANCING ACTIVITIES Proceeds / Repayments from borrowings, Interest paid 12,371 (2,861) 10,189 (3,667) Dividends paid (5,681) (0) (5,681) - Share repurchase plan 0 (838) (714) (1,302) Net cash generated by (used in) by financing activities 6,690 (3,699) 3,793 (4,970) Net increase (decrease) in cash and cash equivalents 7,528 (5,737) 6,624 (6,448) Cash and cash equivalents at the beginning of the year 3,537 7,936 4,501 8,992 Effect of the re-expression in homogeneous cash currency ("Inflation-Adjusted") (88) (90) (224) (155) Effects of the exchange rate differences on cash and cash equivalents in foreign currency (78) (207) (2) (486) Cash and cash equivalents at the end of the period 10,898 1,903 10,898 1,903 In 2Q22, our operating cash generation stood at Ps. 1,971 million, compared to Ps. -45 million in the same period of the previous year, reflecting a higher level of profitability and the effect of the divestment in Yguazú Cementos that impacted the income tax paid in 2Q21. During this quarter, we began to use our clinker stock, although due to the sustained demand and the availability of natural gas, we extended the operation of the kilns by adapting the maintenance plans. During 2Q22, the Company generated cash from financing activities for Ps. 6,690 million, product of the loans taken in the quarter and the application of funds for the distribution of dividends of Ps. 5,150 million approved in April. Regarding cash used in investing activities, the Company used a total of Ps. 1,132. The completion of the L'Amalí expansion project significantly reduced the need for capital expenditure. Recent Events Dividends Distribution On July 1, 2022, the board of directors approved the payment of dividends for a total amount of Ps. 10,300 million equivalents to Ps. 17.59 per outstanding share (Ps. 87.97 per ADS), through the partial allocation of funds from the Reserve for Future Dividends. As of the date of the presentation of this earnings release, the total amount of dividends was distributed. 2Q22 Earnings Conference Call When: 11:00 a.m. U.S. ET (12:00 a.m. BAT), August 12, 2022 Dial-in: 0800-444-2930 (Argentina), 1-833-255-2824 (U.S.), 1-866-605-3852 (Canada), 1-412-902-6701 (International) Password: Loma Negra Call Webcast: https://event.choruscall.com/mediaframe/webcast.html?webcastid=AQO4ZTqA Replay: A telephone replay of the conference call will be available between August 13, 2022, at 1:00 pm U.S. E.T. and ending on August 19, 2022. The replay can be accessed by dialing 1-877-344-7529 (U.S. toll free), or 1-412-317-0088 (International). The passcode for the replay is 10158956. The audio of the conference call will also be archived on the Company’s website at www.lomanegra.com Definitions Adjusted EBITDA is calculated as net profit plus financial interest, net plus income tax expense plus depreciation and amortization plus exchange rate differences plus other financial expenses, net plus tax on debits and credits to bank accounts, plus share of loss of associates, plus net Impairment of Property, plant and equipment, and less income from discontinued operation. Loma Negra believes that excluding tax on debits and credits to bank accounts from its calculation of Adjusted EBITDA is a better measure of operating performance when compared to other international players. Net Debt is calculated as borrowings less cash, cash equivalents and marketable securities. About Loma Negra Founded in 1926, Loma Negra is the leading cement company in Argentina, producing and distributing cement, masonry cement, aggregates, concrete and lime, products primarily used in private and public construction. Loma Negra is a vertically-integrated cement and concrete company, with nationwide operations, supported by vast limestone reserves, strategically located plants, top-of-mind brands and established distribution channels. Loma Negra is listed both on BYMA and on NYSE in the U.S., where it trades under the symbol “LOMA”. One ADS represents five (5) common shares. For more information, visit www.lomanegra.com. Note The Company presented some figures converted from Pesos to U.S. dollars for comparison purposes. The exchange rate used to convert Pesos to U.S. dollars was the reference exchange rate (Communication “A” 3500) reported by the Central Bank for U.S. dollars. The information presented in U.S. dollars is for the convenience of the reader only. Certain figures included in this report have been subject to rounding adjustments. Accordingly, figures shown as totals in certain tables may not be arithmetic aggregations of the figures presented in previous quarters. Rounding: We have made rounding adjustments to reach some of the figures included in this annual report. As a result, numerical figures shown as totals in some tables may not be an arithmetic aggregation of the figures that preceded them. Disclaimer This release contains forward-looking statements within the meaning of federal securities law that are subject to risks and uncertainties. These statements are only predictions based upon our current expectations and projections about possible or assumed future results of our business, financial condition, results of operations, liquidity, plans and objectives. In some cases, you can identify forward-looking statements by terminology such as “believe,” “may,” “estimate,” “continue,” “anticipate,” “intend,” “should,” “plan,” “expect,” “predict,” “potential,” “seek,” “forecast,” or the negative of these terms or other similar expressions. The forward-looking statements are based on the information currently available to us. There are important factors that could cause our actual results, level of activity, performance or achievements to differ materially from the results, level of activity, performance or achievements expressed or implied by the forward-looking statements, including, among others things: changes in general economic, political, governmental and business conditions globally and in Argentina, changes in inflation rates, fluctuations in the exchange rate of the peso, the level of construction generally, changes in cement demand and prices, changes in raw material and energy prices, changes in business strategy and various other factors. You should not rely upon forward-looking statements as predictions of future events. Although we believe in good faith that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee that future results, levels of activity, performance and events and circumstances reflected in the forward-looking statements will be achieved or will occur. Any or all of Loma Negra’s forward-looking statements in this release may turn out to be wrong. You should consider these forward-looking statements in light of other factors discussed under the heading “Risk Factors” in the prospectus filed with the Securities and Exchange Commission on October 31, 2017 in connection with Loma Negra’s initial public offering. Therefore, readers are cautioned not to place undue reliance on these forward-looking statements. Except as required by law, we undertake no obligation to update publicly any forward-looking statements for any reason after the date of this release to conform these statements to actual results or to changes in our expectations. --- Financial Tables Follow --- Table 8: Condensed Interim Consolidated Statements of Financial Position (amounts expressed in millions of pesos, unless otherwise noted) As of June 30, As of December 31, 2022 2021 ASSETS Non-current assets Property, plant and equipment 107,922 110,685 Right to use assets 367 422 Intangible assets 325 394 Investments 7 7 Goodwill 71 71 Inventories 4,317 4,199 Other receivables 844 946 Total non-current assets 113,855 116,724 Current assets Inventories 14,441 11,842 Other receivables 1,793 1,621 Trade accounts receivable 5,935 5,393 Investments 12,522 6,726 Cash and banks 771 450 Total current assets 35,464 26,032 TOTAL ASSETS 149,319 142,757 SHAREHOLDER'S EQUITY Capital stock and other capital related accounts 27,050 27,731 Reserves 65,068 61,798 Retained earnings 6,206 8,967 Accumulated other comprehensive income - - Equity attributable to the owners of the Company 98,323 98,496 Non-controlling interests 113 228 TOTAL SHAREHOLDER'S EQUITY 98,436 98,724 LIABILITIES Non-current liabilities Borrowings 7,224 543 Accounts payables - - Provisions 765 772 Salaries and social security payables 42 69 Debts for leases 261 320 Other liabilities 118 194 Deferred tax liabilities 20,929 19,486 Total non-current liabilities 29,338 21,385 Current liabilities Borrowings 6,375 2,876 Accounts payable 9,943 10,724 Advances from customers 954 1,398 Salaries and social security payables 2,584 2,770 Tax liabilities 1,431 4,555 Debts for leases 85 108 Other liabilities 173 218 Total current liabilities 21,544 22,648 TOTAL LIABILITIES 50,883 44,033 TOTAL SHAREHOLDER'S EQUITY AND LIABILITIES 149,319 142,757 Table 9: Condensed Interim Consolidated Statements of Profit or Loss and Other Comprehensive Income (unaudited) (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 % Change 2022 2021 % Change Net revenue 25,268 23,399 8.0% 47,919 47,371 1.2% Cost of sales (18,175) (16,350) 11.2% (33,268) (31,633) 5.2% Gross Profit 7,093 7,049 0.6% 14,651 15,738 -6.9% Share of loss of associates - - n/a - - n/a Selling and administrative expenses (2,208) (2,018) 9.4% (4,350) (3,981) 9.3% Other gains and losses (23) 139 n/a 12 216 -94.4% Impairment of property, plant and equipment - - n/a - - n/a Tax on debits and credits to bank accounts (255) (260) -1.7% (480) (487) -1.5% Finance gain (cost), net Gain on net monetary position 629 905 -30.5% 1,625 1,920 -15.4% Exchange rate differences (398) 317 n/a (578) 355 n/a Financial income 57 146 -60.8% 77 222 -65.3% Financial expenses (598) (889) -32.8% (1,174) (1,762) -33.4% Profit (loss) before taxes 4,298 5,389 -20.2% 9,783 12,222 -20.0% Income tax expense Current (30) (2,520) -98.8% (2,250) (5,349) -57.9% Deferred (1,855) (4,944) -62.5% (1,443) (4,277) -66.3% Net Profit (Loss) 2,413 (2,075) n/a 6,090 2,597 134.5% Net Profit (Loss) for the period attributable to: Owners of the Company 2,489 (2,025) n/a 6,206 2,707 129.2% Non-controlling interests (76) (50) 49.7% (116) (111) 4.7% NET PROFIT (LOSS) FOR THE PERIOD 2,413 (2,075) n/a 6,090 2,597 134.5% Earnings per share (basic and diluted): 4.2517 (3.3967) n/a 10.5949 4.5419 133.3% Table 10: Condensed Interim Consolidated Statement of Cash Flows (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 2022 2021 CASH FLOWS FROM OPERATING ACTIVITIES Net Profit (Loss) 2,413 (2,075) 6,090 2,597 Adjustments to reconcile net profit to net cash provided by operating activities Income tax expense 1,884 7,464 3,693 9,625 Depreciation and amortization 2,465 1,970 4,621 3,729 Provisions 57 (33) 107 (35) Exchange rate differences (78) (556) (288) (831) Interest expense 265 348 458 529 Share of loss of associates - - - - Gain on disposal of property, plant and equipment 4 (87) (14) (123) Gain on disposal of shareholding of Yguazú Cementos S.A. - - - - Impairment of property, plant and equipment - - - - Impairment of trust fund 26 39 64 63 Share-based payment (6) - 33 - Changes in operating assets and liabilities Inventories (1,698) (154) (3,062) (1,107) Other receivables (528) (56) (507) (552) Trade accounts receivable (1,183) (659) (2,015) (1,391) Advances from customers 153 (278) (303) (318) Accounts payable 1,686 211 1,073 518 Salaries and social security payables 159 197 501 496 Provisions (11) (23) (57) (40) Tax liabilities 683 (324) 824 (117) Other liabilities (93) (73) (130) (172) Gain on net monetary position (629) (905) (1,625) (1,920) Income tax paid (3,601) (5,050) (4,788) (5,667) Net cash generated by (used in) operating activities 1,971 (45) 4,676 5,284 CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from disposal of Yguazú Cementos S.A. (0) 238 65 410 Proceeds from disposal of Property, plant and equipment 24 49 25 116 Payments to acquire Property, plant and equipment (1,119) (2,248) (1,861) (4,175) Payments to acquire Intangible Assets (3) - (3) - Acquire investments (0) (0) (0) (3,044) Proceeds from maturity investments - - Contributions to Trust (33) (32) (72) (69) Net cash generated by (used in) investing activities (1,132) (1,993) (1,846) (6,762) CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from borrowings 13,038 610 14,079 770 Interest paid (83) (114) (246) (435) Dividends paid (5,681) (0) (5,681) - Debts for leases (46) (59) (79) (130) Repayment of borrowings (538) (3,297) (3,566) (3,873) Share repurchase plan 0 (838) (714) (1,302) Net cash generated by (used in) financing activities 6,690 (3,699) 3,793 (4,970) Net increase (decrease) in cash and cash equivalents 7,528 (5,737) 6,624 (6,448) Cash and cash equivalents at the beginning of the period 3,537 7,936 4,501 8,992 Effect of the re-expression in homogeneous cash currency ("Inflation-Adjusted") (88) (90) (224) (155) Effects of the exchange rate differences on cash and cash equivalents in foreign currency (78) (207) (2) (486) Cash and cash equivalents at the end of the period 10,898 1,903 10,898 1,903 Table 11: Financial Data by Segment (figures exclude the impact of IAS 29) (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 % 2021 % 2022 % 2021 % Net revenue 24,064 100.0% 13,829 100.0% 42,327 100.0% 26,464 100.0% Cement, masonry cement and lime 21,203 88.1% 12,392 89.6% 37,383 88.3% 23,709 89.6% Concrete 1,949 8.1% 947 6.8% 3,328 7.9% 2,033 7.7% Railroad 2,028 8.4% 1,194 8.6% 3,576 8.4% 2,108 8.0% Aggregates 627 2.6% 190 1.4% 1,003 2.4% 318 1.2% Others 157 0.7% 68 0.5% 308 0.7% 140 0.5% Eliminations (1,900) -7.9% (961) -6.9% (3,270) -7.7% (1,844) -7.0% Cost of sales 15,432 100.0% 8,668 100.0% 26,279 100.0% 16,071 100.0% Cement, masonry cement and lime 12,840 83.2% 7,268 83.8% 21,798 82.9% 13,311 82.8% Concrete 1,910 12.4% 1,026 11.8% 3,222 12.3% 2,186 13.6% Railroad 1,952 12.6% 1,117 12.9% 3,430 13.1% 2,022 12.6% Aggregates 532 3.4% 169 2.0% 907 3.5% 302 1.9% Others 99 0.6% 49 0.6% 192 0.7% 93 0.6% Eliminations (1,900) -12.3% (961) -11.1% (3,270) -12.4% (1,844) -11.5% Selling, admin. expenses and other gains & losses 1,944 100.0% 1,048 100.0% 3,611 100.0% 1,992 100.0% Cement, masonry cement and lime 1,709 87.9% 949 90.5% 3,176 87.9% 1,789 89.8% Concrete 78 4.0% 0 0.0% 145 4.0% 22 1.1% Railroad 112 5.8% 72 6.9% 196 5.4% 127 6.4% Aggregates 6 0.3% 2 0.2% 10 0.3% 4 0.2% Others 39 2.0% 25 2.4% 84 2.3% 49 2.5% Depreciation and amortization 722 100.0% 371 100.0% 1,316 100.0% 714 100.0% Cement, masonry cement and lime 547 75.8% 277 74.7% 1,001 76.1% 530 74.2% Concrete 23 3.2% 15 3.9% 34 2.6% 31 4.4% Railroad 142 19.6% 70 19.0% 263 20.0% 137 19.2% Aggregates 9 1.2% 7 2.0% 15 1.2% 13 1.8% Others 1 0.2% 1 0.4% 2 0.2% 3 0.4% Adjusted EBITDA 7,409 100.0% 4,484 100.0% 13,752 100.0% 9,116 100.0% Cement, masonry cement and lime 7,201 97.2% 4,452 99.3% 13,409 97.5% 9,139 100.3% Concrete (16) -0.2% (65) -1.4% (5) 0.0% (145) -1.6% Railroad 106 1.4% 75 1.7% 213 1.5% 95 1.0% Aggregates 98 1.3% 26 0.6% 101 0.7% 26 0.3% Others 21 0.3% (5) -0.1% 35 0.3% 0 0.0% Reconciling items: Effect by translation in homogeneous cash currency ("Inflation-Adjusted") (82) 2,656 1,182 6,586 Depreciation and amortization (2,465) (1,970) (4,621) (3,729) Tax on debits and credits banks accounts (255) (260) (480) (487) Finance gain (cost), net (310) 479 (50) 736 Income tax (1,884) (7,464) (3,693) (9,625) Share of profit of associates - - - - Impairment of property, plant and equipment - - - - NET PROFIT (LOSS) FOR THE PERIOD 2,413 (2,075) 6,090 2,597 View source version on businesswire.com: https://www.businesswire.com/news/home/20220811005722/en/Contacts IR Contacts Marcos I. Gradin, Chief Financial Officer and Investor Relations Diego M. Jalón, Investor Relations Manager +54-11-4319-3050 investorrelations@lomanegra.com
Loma Negra, (NYSE: LOMA; BYMA: LOMA), (“Loma Negra” or the “Company”), the leading cement producer in Argentina, today announced results for the three-month period ended June 30, 2022 (our “2Q22 Results”). 2Q22 Key Highlights Net sales revenues increased by 8.0% YoY to Ps. 25,268 million (US$ 204 million), mainly explained by the increase in Cement sales, coupled with a good performance of the other segments, mainly Concrete and Aggregates. Consolidated Adjusted EBITDA reached Ps. 7,328 million (US$ 63 million), increasing 2.6% YoY. The Consolidated Adjusted EBITDA margin contracted 151 basis points YoY from 30.5% to 29.0%. Net Profit of Ps. 2,413 million, showing an increase of Ps. 4,488 million versus the same period of the previous year, mainly explained by a better operating result and a lower tax burden due to the increase in the income tax rate that affected 2Q21. During the quarter, we granted a dividend payment of Ps. 5,150 million, Ps. 8.80 per outstanding share (Ps. 43.99 per ADR). Net Debt /LTM Adjusted EBITDA ratio of 0.01x compared with -0.12x in FY21. The Company has presented certain financial figures, Table 1b and Table 11, in U.S. dollars and Pesos without giving effect to IAS 29. The Company has prepared all other financial information herein by applying IAS 29. Commenting on the financial and operating performance for the second quarter of 2022, Sergio Faifman, Loma Negra’s Chief Executive Officer, noted: “We are pleased to present another quarter with excellent results, mainly based on our cement business. Demand is going through a very solid moment that made this the best second quarter in history for the cement market, also marking a maximum for the first six months of 2022. This year we are on track to set a new historical dispatch record. At this auspicious moment for the industry, LOMA once again shows an excellent performance, at this auspicious moment for the industry, LOMA once again shows an excellent performance, demonstrating its operational capacity and flexibility, largely as a result of the recent investments in capacity, to efficiently face complex circumstances such as the global energy crisis or the prevailing uncertainty in the Argentine economy. Loma maintains its focus on results, which has allowed us to achieve high profitability standards, achieving a record EBITDA of 63 million dollars for a second quarter, reaching 36.5 dollars per ton. Likewise, after having completed the second line of L'Amalí Plant, and as a way of allocating our cash generation, this year we decided to resume dividend payments, seeking to maximize value for shareholders. In this sense, to the dividends payment made in April of this year, we added a second dividend distribution in June of 81 million dollars, leveraged on the Company's solid balance sheet, totalizing 126 million dollars for the year. As always, I would like to thank everyone who forms the LOMA team, who with their effort and dedication make these results possible, always with the support of our customers, suppliers, and the communities where we responsibly operate” Table 1: Financial Highlights (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Net revenue 25,268 23,399 8.0% 47,919 47,371 1.2% Gross Profit 7,093 7,049 0.6% 14,651 15,738 -6.9% Gross Profit margin 28.1% 30.1% -205 bps 30.6% 33.2% -265 bps Adjusted EBITDA 7,328 7,140 2.6% 14,934 15,702 -4.9% Adjusted EBITDA Mg. 29.0% 30.5% -151 bps 31.2% 33.1% -198 bps Net Profit (Loss) 2,413 (2,075) n/a 6,090 2,597 134.5% Net Profit attributable to owners of the Company 2,489 (2,025) n/a 6,206 2,707 129.2% EPS 4.2517 (3.3967) n/a 10.5949 4.5419 133.3% Average outstanding shares (*) 585 596 -1.8% 586 596 -1.7% Net Debt 305 4,073 -92.5% 305 4,073 -92.5% Net Debt /LTM Adjusted EBITDA 0.01x 0.12x -0.92x 0.01x 0.12x -0.92x (*) Net of shares repurchased Table 1b: Financial Highlights in Ps and in U.S. dollars (figures exclude the impact of IAS 29) In million Ps. Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Net revenue 24,064 13,829 74.0% 42,327 26,464 59.9% Adjusted EBITDA 7,409 4,484 65.2% 13,752 9,116 50.9% Adjusted EBITDA Mg. 30.8% 32.4% -163 bps 32.5% 34.4% -196 bps Net Profit (Loss) 6,516 4,628 40.8% 12,600 7,888 59.7% Net Debt 305 4,073 -92.5% 305 4,073 -92.5% Net Debt /LTM Adjusted EBITDA 0.01x 0.12x -0.92x 0.01x 0.12x -0.92x In million US$ Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Ps./US$, av 118.03 94.09 25.4% 112.21 91.37 22.8% Ps./US$, eop 125.22 95.73 30.8% 125.22 95.73 30.8% Net revenue 204 147 38.7% 377 290 30.2% Adjusted EBITDA 63 48 31.7% 123 100 22.8% Adjusted EBITDA Mg. 30.8% 32.4% -163 bps 32.5% 34.4% -196 bps Net Profit (Loss) 55 49 12.3% 112 86 30.1% Net Debt 2 43 -94.3% 2 43 -94.3% Net Debt /LTM Adjusted EBITDA 0.01x 0.12x -0.92x 0.01x 0.12x -0.92x Overview of Operations Sales Volumes Table 2: Sales Volumes2 Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Cement, masonry & lime MM Tn 1.67 1.40 19.3% 3.15 2.79 13.0% Concrete MM m3 0.15 0.12 26.3% 0.26 0.27 -3.3% Railroad MM Tn 1.18 1.06 11.4% 2.23 2.05 8.9% Aggregates MM Tn 0.32 0.20 64.7% 0.57 0.38 50.8% 2 Sales volumes include inter-segment sales Sales volumes of cement, masonry, and lime during 2Q22 increased by 19.3% to 1.7 million tons, mainly leveraged by the growth of bulk cement. Sales of bagged cement maintain their trend, supported by a strong demand from the retail sector, while bulk cement continues to be the dispatch mode that is showing the highest year-on-year growth, driven by a higher level of activity in private infrastructure projects, residential and industrial, coupled with a moderate recovery in public works at the municipal and provincial levels. Regarding the volume of the Concrete segment, it registered an increase of 26.3% YoY. The volume of concrete is showing a good performance, following the trend of bulk cement. On the other hand, Aggregates had a strong increase of 64.7% YoY sustained mainly by the improvement in production, which allowed accompanying the reactivation of the concrete sector and certain road works in the Buenos Aires area, registering a monthly dispatch record in June for that month of the year. Likewise, the volumes of the railway segment experienced a growth of 11.4% compared to the same quarter of 2021, where the strong level of activity in the construction sector translated into a notable increase in transported volumes of stone and cement, followed by the chemical category, while there was a decrease in the transport of fracsand. Review of Financial Results Table 3: Condensed Interim Consolidated Statements of Profit or Loss and Other Comprehensive Income (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Net revenue 25,268 23,399 8.0% 47,919 47,371 1.2% Cost of sales (18,175) (16,350) 11.2% (33,268) (31,633) 5.2% Gross profit 7,093 7,049 0.6% 14,651 15,738 -6.9% Share of loss of associates - - n/a - - n/a Selling and administrative expenses (2,208) (2,018) 9.4% (4,350) (3,981) 9.3% Other gains and losses (23) 139 n/a 12 216 -94.4% Impairment of property, plant and equipment - - n/a - - n/a Tax on debits and credits to bank accounts (255) (260) -1.7% (480) (487) -1.5% Finance gain (cost), net Gain on net monetary position 629 905 -30.5% 1,625 1,920 -15.4% Exchange rate differences (398) 317 n/a (578) 355 n/a Financial income 57 146 -60.8% 77 222 -65.3% Financial expense (598) (889) -32.8% (1,174) (1,762) -33.4% Profit (Loss) before taxes 4,298 5,389 -20.2% 9,783 12,222 -20.0% Income tax expense Current (30) (2,520) -98.8% (2,250) (5,349) -57.9% Deferred (1,855) (4,944) -62.5% (1,443) (4,277) -66.3% Net profit (Loss) 2,413 (2,075) n/a 6,090 2,597 134.5% Net Revenues Net revenue increased 8.0% to Ps. 25,268 million in 2Q22, from Ps. 23,399 million in the comparable quarter last year, driven by an increase in Cement, coupled with a positive performance of the other segments. Cement, masonry cement and lime segment was up 6.2% YoY, with volumes expanding 19.3% impacted by price dynamics. Concrete registered an increase in its topline of 27.5% compared with 2Q21, sustained by a 26.3% increase in volume, also accompanied by an improvement in prices. The Aggregates segment recorded a strong increase in revenues of 105.2%, supported by a volume increase of 64.7% YoY combined with good price performance. Railroad revenues increased 5.6% in 2Q22 compared to the same quarter of 2021, mainly explained by an increase in transported volumes of construction materials that compensated for lower price dynamics, in part due to the drop in the average distance transported as a result of the decrease in the transported volume of fracsand. Cost of sales, and Gross profit Cost of sales increased 11.2% YoY, reaching Ps. 18,175 million in 2Q22, mainly as a result of a higher volume sold and the increase in depreciation due to the impact of the new production line in L'Amalí, partially offset by the favorable evolution of unitary costs, due to operating efficiencies and where the increases in dollars of energy inputs saw their impact softened by the evolution of the exchange rate. Gross Profit remained stable, registering a slight improvement of 0.6% YoY to Ps. 7,093 million in 2Q22, from Ps. 7,049 million in 2Q21, with a gross profit margin that contracted 205 basis points YoY to 28.1%. Selling and Administrative Expenses Selling and administrative expenses (SG&A) in 2Q22 increased by 9.4% YoY to Ps. 2,208 million, from Ps. 2,018 million in 2Q21, mainly as a result of higher expenses in salaries, freight and insurances compared to the previous year. As a percentage of sales, SG&A showed a slight increase against 2Q21 of 11 basis points, reaching 9.5%. Adjusted EBITDA & Margin Table 4: Adjusted EBITDA Reconciliation & Margin (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Adjusted EBITDA reconciliation: Net profit (Loss) 2,413 (2,075) n/a 6,090 2,597 134.5% (+) Depreciation and amortization 2,465 1,970 25.1% 4,621 3,729 23.9% (+) Tax on debits and credits to bank accounts 255 260 -1.7% 480 487 -1.5% (+) Income tax expense 1,884 7,464 -74.8% 3,693 9,625 -61.6% (+) Financial interest, net 387 689 -43.8% 808 1,373 -41.2% (+) Exchange rate differences, net 398 (317) n/a 578 (355) n/a (+) Other financial expenses, net 154 55 179.3% 289 167 73.3% (+) Gain on net monetary position (629) (905) -30.5% (1,625) (1,920) -15.4% (+) Share of profit (loss) of associates - - n/a - - n/a (+) Impairment of property, plant and equipment - - n/a - - n/a Adjusted EBITDA 7,328 7,140 2.6% 14,934 15,702 -4.9% Adjusted EBITDA Margin 29.0% 30.5% -151 bps 31.2% 33.1% -198 bps Adjusted EBITDA increased 2.6% YoY in the second quarter of 2022 to Ps. 7,328 million from 7,140 in the same period of the previous year driven by our cement business and accompanied by improvements in Concrete and Aggregates. Likewise, the Adjusted EBITDA margin contracted 151 basis points to 29.0% compared to 30.5% in 2Q21, mainly due to the compression of the cement margin and the higher incidence of other businesses with lower margins, due to the increase in their activity levels. In particular, the Adjusted EBITDA margin of the Cement, Masonry and Lime segment contracted 155 bps to 32.5%, mainly due to lower price performance partially offset by favorable cost management and higher operating leverage. Concrete Adjusted EBITDA margin showed a significant improvement of 371 bps, but still remaining in negative figures, reaching -3.1%, from a negative margin of 6.8% in 2Q21, supported by a volume recovery and higher efficiencies operational. The Adjusted EBITDA margin of Aggregates stood at 9.7%, showing an improvement of 203 basis points compared to 2Q21, due to a strong recovery in revenues due to the increase in sales volumes and the positive performance of the price. The Adjusted EBITDA margin of Aggregates stood at 9.7%, showing an improvement of 203 basis points compared to 2Q21, due to a strong recovery in revenues caused by an increase in sales volumes and the positive performance of the price. Finally, the Adjusted EBITDA margin of the Railroad segment decreased 144 bps to 3.4% in the second quarter, from 4.9%, where the improvement in the transported volumes did not manage to compensate the negative performance of the price, mainly affected by the reduction in the average transported distance due to changes in the mix of transported products. Finance Costs-Net Table 5: Finance Gain (Cost), net (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 % Chg. 2022 2021 % Chg. Exchange rate differences (398) 317 n/a (578) 355 n/a Financial income 57 146 -60.8% 77 222 -65.3% Financial expense (598) (889) -32.8% (1,174) (1,762) -33.4% Gain on net monetary position 629 905 -30.5% 1,625 1,920 -15.4% Total Finance Gain (Cost), Net (310) 479 n/a (50) 736 n/a During 2Q22, the Company reported a total net financial cost of Ps. 310 million compared to a total net financial income of Ps. 479 million in 2Q21, mainly explained by the effect of the variation between the mix of assets and liabilities in foreign currency and the evolution of the exchange rate and inflation, partially offset by a lower net financial cost and a lower positive effect of the result on the monetary position. Net Profit and Net Profit Attributable to Owners of the Company Net Profit for 2Q22 reached Ps. 2,413 million compared to a loss of Ps. 2,075 million in the same period last year, mainly due to the change in the income tax rate that strongly affected the deferred tax in 2Q21. Likewise, the current tax for 2Q22 is reduced by the effect of the amortization of the second line of the L'Amalí Plant. Net Profit Attributable to Owners of the Company reached Ps. 2,489 million. During the quarter, the Company reported earnings per common share of Ps. 4.2517 and an ADR gain of Ps. 21.2583, compared to a loss per common share of Ps. 3.3967 and an ADR loss of Ps. 16.9837 in 2Q21. Capitalization Table 6: Capitalization and Debt Ratio (amounts expressed in millions of pesos, unless otherwise noted) As of June 30, As of December, 31 2022 2021 2021 Total Debt 13,598 8,852 3,419 - Short-Term Debt 6,375 7,939 2,876 - Long-Term Debt 7,224 914 543 Cash, Cash Equivalents and Investments (13,293) (4,779) 7,177 Total Net Debt 305 4,073 (3,758) Shareholder's Equity 98,436 94,576 98,724 Capitalization 112,034 103,429 102,143 LTM Adjusted EBITDA 30,716 33,166 31,484 Net Debt /LTM Adjusted EBITDA 0.01x 0.12x -0.12x As of June 30, 2022, total Cash, Cash Equivalents, and Investments were Ps. 13,293 million compared with Ps. 4,779 million as of the June 30, 2021. Total debt at the close of the quarter stood at Ps. 13,598 million, composed by Ps. 6,375 million in short-term borrowings, including the current portion of long-term borrowings (or 46.9% of total borrowings), and Ps. 7,224 million in long-term borrowings (or 53.1% of total borrowings). At the end of the second quarter of 2022, 57.6% (or Ps. 7,830 million) of Loma Negra's total debt was denominated in US dollars, while 42.4% (or Ps. 5,768 million) was in Argentine pesos. The average duration of Loma Negra's total debt was 1.2 years. As of June 30, 2022, 59.6% of the Company's consolidated loans accrued interest at a variable rate. The debt denominated in dollars with rates based on Libor, while the portion in Argentine pesos accrued interest at the short-term market rate. The remaining 40.4% accrues interest at a fixed rate in pesos. The Net Debt to Adjusted EBITDA (LTM) ratio increased to 0.01x as of June 30, 2022, from -0.12x as of December 31, 2021, as a result of an increase in the debt, partially compensated by our strong cash generation. Cash Flows Table 7: Condensed Interim Consolidated Statement of Cash Flows (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 2022 2021 CASH FLOWS FROM OPERATING ACTIVITIES Net Profit (Loss) 2,413 (2,075) 6,090 2,597 Adjustments to reconcile net profit (loss) to net cash provided by operating activities 4,618 9,145 8,674 12,958 Changes in operating assets and liabilities (5,061) (7,115) (10,088) (10,270) Net cash generated by operating activities 1,971 (45) 4,676 5,284 CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from disposal of Yguazú Cementos S.A. (0) 238 65 410 Property, plant and equipment, Intangible Assets, net (1,099) (2,199) (1,839) (4,059) Contributions to Trust (33) (32) (72) (69) Investments, net (0) (0) (0) (3,044) Net cash (used in) investing activities (1,132) (1,993) (1,846) (6,762) CASH FLOWS FROM FINANCING ACTIVITIES Proceeds / Repayments from borrowings, Interest paid 12,371 (2,861) 10,189 (3,667) Dividends paid (5,681) (0) (5,681) - Share repurchase plan 0 (838) (714) (1,302) Net cash generated by (used in) by financing activities 6,690 (3,699) 3,793 (4,970) Net increase (decrease) in cash and cash equivalents 7,528 (5,737) 6,624 (6,448) Cash and cash equivalents at the beginning of the year 3,537 7,936 4,501 8,992 Effect of the re-expression in homogeneous cash currency ("Inflation-Adjusted") (88) (90) (224) (155) Effects of the exchange rate differences on cash and cash equivalents in foreign currency (78) (207) (2) (486) Cash and cash equivalents at the end of the period 10,898 1,903 10,898 1,903 In 2Q22, our operating cash generation stood at Ps. 1,971 million, compared to Ps. -45 million in the same period of the previous year, reflecting a higher level of profitability and the effect of the divestment in Yguazú Cementos that impacted the income tax paid in 2Q21. During this quarter, we began to use our clinker stock, although due to the sustained demand and the availability of natural gas, we extended the operation of the kilns by adapting the maintenance plans. During 2Q22, the Company generated cash from financing activities for Ps. 6,690 million, product of the loans taken in the quarter and the application of funds for the distribution of dividends of Ps. 5,150 million approved in April. Regarding cash used in investing activities, the Company used a total of Ps. 1,132. The completion of the L'Amalí expansion project significantly reduced the need for capital expenditure. Recent Events Dividends Distribution On July 1, 2022, the board of directors approved the payment of dividends for a total amount of Ps. 10,300 million equivalents to Ps. 17.59 per outstanding share (Ps. 87.97 per ADS), through the partial allocation of funds from the Reserve for Future Dividends. As of the date of the presentation of this earnings release, the total amount of dividends was distributed. 2Q22 Earnings Conference Call When: 11:00 a.m. U.S. ET (12:00 a.m. BAT), August 12, 2022 Dial-in: 0800-444-2930 (Argentina), 1-833-255-2824 (U.S.), 1-866-605-3852 (Canada), 1-412-902-6701 (International) Password: Loma Negra Call Webcast: https://event.choruscall.com/mediaframe/webcast.html?webcastid=AQO4ZTqA Replay: A telephone replay of the conference call will be available between August 13, 2022, at 1:00 pm U.S. E.T. and ending on August 19, 2022. The replay can be accessed by dialing 1-877-344-7529 (U.S. toll free), or 1-412-317-0088 (International). The passcode for the replay is 10158956. The audio of the conference call will also be archived on the Company’s website at www.lomanegra.com Definitions Adjusted EBITDA is calculated as net profit plus financial interest, net plus income tax expense plus depreciation and amortization plus exchange rate differences plus other financial expenses, net plus tax on debits and credits to bank accounts, plus share of loss of associates, plus net Impairment of Property, plant and equipment, and less income from discontinued operation. Loma Negra believes that excluding tax on debits and credits to bank accounts from its calculation of Adjusted EBITDA is a better measure of operating performance when compared to other international players. Net Debt is calculated as borrowings less cash, cash equivalents and marketable securities. About Loma Negra Founded in 1926, Loma Negra is the leading cement company in Argentina, producing and distributing cement, masonry cement, aggregates, concrete and lime, products primarily used in private and public construction. Loma Negra is a vertically-integrated cement and concrete company, with nationwide operations, supported by vast limestone reserves, strategically located plants, top-of-mind brands and established distribution channels. Loma Negra is listed both on BYMA and on NYSE in the U.S., where it trades under the symbol “LOMA”. One ADS represents five (5) common shares. For more information, visit www.lomanegra.com. Note The Company presented some figures converted from Pesos to U.S. dollars for comparison purposes. The exchange rate used to convert Pesos to U.S. dollars was the reference exchange rate (Communication “A” 3500) reported by the Central Bank for U.S. dollars. The information presented in U.S. dollars is for the convenience of the reader only. Certain figures included in this report have been subject to rounding adjustments. Accordingly, figures shown as totals in certain tables may not be arithmetic aggregations of the figures presented in previous quarters. Rounding: We have made rounding adjustments to reach some of the figures included in this annual report. As a result, numerical figures shown as totals in some tables may not be an arithmetic aggregation of the figures that preceded them. Disclaimer This release contains forward-looking statements within the meaning of federal securities law that are subject to risks and uncertainties. These statements are only predictions based upon our current expectations and projections about possible or assumed future results of our business, financial condition, results of operations, liquidity, plans and objectives. In some cases, you can identify forward-looking statements by terminology such as “believe,” “may,” “estimate,” “continue,” “anticipate,” “intend,” “should,” “plan,” “expect,” “predict,” “potential,” “seek,” “forecast,” or the negative of these terms or other similar expressions. The forward-looking statements are based on the information currently available to us. There are important factors that could cause our actual results, level of activity, performance or achievements to differ materially from the results, level of activity, performance or achievements expressed or implied by the forward-looking statements, including, among others things: changes in general economic, political, governmental and business conditions globally and in Argentina, changes in inflation rates, fluctuations in the exchange rate of the peso, the level of construction generally, changes in cement demand and prices, changes in raw material and energy prices, changes in business strategy and various other factors. You should not rely upon forward-looking statements as predictions of future events. Although we believe in good faith that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee that future results, levels of activity, performance and events and circumstances reflected in the forward-looking statements will be achieved or will occur. Any or all of Loma Negra’s forward-looking statements in this release may turn out to be wrong. You should consider these forward-looking statements in light of other factors discussed under the heading “Risk Factors” in the prospectus filed with the Securities and Exchange Commission on October 31, 2017 in connection with Loma Negra’s initial public offering. Therefore, readers are cautioned not to place undue reliance on these forward-looking statements. Except as required by law, we undertake no obligation to update publicly any forward-looking statements for any reason after the date of this release to conform these statements to actual results or to changes in our expectations. --- Financial Tables Follow --- Table 8: Condensed Interim Consolidated Statements of Financial Position (amounts expressed in millions of pesos, unless otherwise noted) As of June 30, As of December 31, 2022 2021 ASSETS Non-current assets Property, plant and equipment 107,922 110,685 Right to use assets 367 422 Intangible assets 325 394 Investments 7 7 Goodwill 71 71 Inventories 4,317 4,199 Other receivables 844 946 Total non-current assets 113,855 116,724 Current assets Inventories 14,441 11,842 Other receivables 1,793 1,621 Trade accounts receivable 5,935 5,393 Investments 12,522 6,726 Cash and banks 771 450 Total current assets 35,464 26,032 TOTAL ASSETS 149,319 142,757 SHAREHOLDER'S EQUITY Capital stock and other capital related accounts 27,050 27,731 Reserves 65,068 61,798 Retained earnings 6,206 8,967 Accumulated other comprehensive income - - Equity attributable to the owners of the Company 98,323 98,496 Non-controlling interests 113 228 TOTAL SHAREHOLDER'S EQUITY 98,436 98,724 LIABILITIES Non-current liabilities Borrowings 7,224 543 Accounts payables - - Provisions 765 772 Salaries and social security payables 42 69 Debts for leases 261 320 Other liabilities 118 194 Deferred tax liabilities 20,929 19,486 Total non-current liabilities 29,338 21,385 Current liabilities Borrowings 6,375 2,876 Accounts payable 9,943 10,724 Advances from customers 954 1,398 Salaries and social security payables 2,584 2,770 Tax liabilities 1,431 4,555 Debts for leases 85 108 Other liabilities 173 218 Total current liabilities 21,544 22,648 TOTAL LIABILITIES 50,883 44,033 TOTAL SHAREHOLDER'S EQUITY AND LIABILITIES 149,319 142,757 Table 9: Condensed Interim Consolidated Statements of Profit or Loss and Other Comprehensive Income (unaudited) (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 % Change 2022 2021 % Change Net revenue 25,268 23,399 8.0% 47,919 47,371 1.2% Cost of sales (18,175) (16,350) 11.2% (33,268) (31,633) 5.2% Gross Profit 7,093 7,049 0.6% 14,651 15,738 -6.9% Share of loss of associates - - n/a - - n/a Selling and administrative expenses (2,208) (2,018) 9.4% (4,350) (3,981) 9.3% Other gains and losses (23) 139 n/a 12 216 -94.4% Impairment of property, plant and equipment - - n/a - - n/a Tax on debits and credits to bank accounts (255) (260) -1.7% (480) (487) -1.5% Finance gain (cost), net Gain on net monetary position 629 905 -30.5% 1,625 1,920 -15.4% Exchange rate differences (398) 317 n/a (578) 355 n/a Financial income 57 146 -60.8% 77 222 -65.3% Financial expenses (598) (889) -32.8% (1,174) (1,762) -33.4% Profit (loss) before taxes 4,298 5,389 -20.2% 9,783 12,222 -20.0% Income tax expense Current (30) (2,520) -98.8% (2,250) (5,349) -57.9% Deferred (1,855) (4,944) -62.5% (1,443) (4,277) -66.3% Net Profit (Loss) 2,413 (2,075) n/a 6,090 2,597 134.5% Net Profit (Loss) for the period attributable to: Owners of the Company 2,489 (2,025) n/a 6,206 2,707 129.2% Non-controlling interests (76) (50) 49.7% (116) (111) 4.7% NET PROFIT (LOSS) FOR THE PERIOD 2,413 (2,075) n/a 6,090 2,597 134.5% Earnings per share (basic and diluted): 4.2517 (3.3967) n/a 10.5949 4.5419 133.3% Table 10: Condensed Interim Consolidated Statement of Cash Flows (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 2021 2022 2021 CASH FLOWS FROM OPERATING ACTIVITIES Net Profit (Loss) 2,413 (2,075) 6,090 2,597 Adjustments to reconcile net profit to net cash provided by operating activities Income tax expense 1,884 7,464 3,693 9,625 Depreciation and amortization 2,465 1,970 4,621 3,729 Provisions 57 (33) 107 (35) Exchange rate differences (78) (556) (288) (831) Interest expense 265 348 458 529 Share of loss of associates - - - - Gain on disposal of property, plant and equipment 4 (87) (14) (123) Gain on disposal of shareholding of Yguazú Cementos S.A. - - - - Impairment of property, plant and equipment - - - - Impairment of trust fund 26 39 64 63 Share-based payment (6) - 33 - Changes in operating assets and liabilities Inventories (1,698) (154) (3,062) (1,107) Other receivables (528) (56) (507) (552) Trade accounts receivable (1,183) (659) (2,015) (1,391) Advances from customers 153 (278) (303) (318) Accounts payable 1,686 211 1,073 518 Salaries and social security payables 159 197 501 496 Provisions (11) (23) (57) (40) Tax liabilities 683 (324) 824 (117) Other liabilities (93) (73) (130) (172) Gain on net monetary position (629) (905) (1,625) (1,920) Income tax paid (3,601) (5,050) (4,788) (5,667) Net cash generated by (used in) operating activities 1,971 (45) 4,676 5,284 CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from disposal of Yguazú Cementos S.A. (0) 238 65 410 Proceeds from disposal of Property, plant and equipment 24 49 25 116 Payments to acquire Property, plant and equipment (1,119) (2,248) (1,861) (4,175) Payments to acquire Intangible Assets (3) - (3) - Acquire investments (0) (0) (0) (3,044) Proceeds from maturity investments - - Contributions to Trust (33) (32) (72) (69) Net cash generated by (used in) investing activities (1,132) (1,993) (1,846) (6,762) CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from borrowings 13,038 610 14,079 770 Interest paid (83) (114) (246) (435) Dividends paid (5,681) (0) (5,681) - Debts for leases (46) (59) (79) (130) Repayment of borrowings (538) (3,297) (3,566) (3,873) Share repurchase plan 0 (838) (714) (1,302) Net cash generated by (used in) financing activities 6,690 (3,699) 3,793 (4,970) Net increase (decrease) in cash and cash equivalents 7,528 (5,737) 6,624 (6,448) Cash and cash equivalents at the beginning of the period 3,537 7,936 4,501 8,992 Effect of the re-expression in homogeneous cash currency ("Inflation-Adjusted") (88) (90) (224) (155) Effects of the exchange rate differences on cash and cash equivalents in foreign currency (78) (207) (2) (486) Cash and cash equivalents at the end of the period 10,898 1,903 10,898 1,903 Table 11: Financial Data by Segment (figures exclude the impact of IAS 29) (amounts expressed in millions of pesos, unless otherwise noted) Three-months ended June 30, Six-months ended June 30, 2022 % 2021 % 2022 % 2021 % Net revenue 24,064 100.0% 13,829 100.0% 42,327 100.0% 26,464 100.0% Cement, masonry cement and lime 21,203 88.1% 12,392 89.6% 37,383 88.3% 23,709 89.6% Concrete 1,949 8.1% 947 6.8% 3,328 7.9% 2,033 7.7% Railroad 2,028 8.4% 1,194 8.6% 3,576 8.4% 2,108 8.0% Aggregates 627 2.6% 190 1.4% 1,003 2.4% 318 1.2% Others 157 0.7% 68 0.5% 308 0.7% 140 0.5% Eliminations (1,900) -7.9% (961) -6.9% (3,270) -7.7% (1,844) -7.0% Cost of sales 15,432 100.0% 8,668 100.0% 26,279 100.0% 16,071 100.0% Cement, masonry cement and lime 12,840 83.2% 7,268 83.8% 21,798 82.9% 13,311 82.8% Concrete 1,910 12.4% 1,026 11.8% 3,222 12.3% 2,186 13.6% Railroad 1,952 12.6% 1,117 12.9% 3,430 13.1% 2,022 12.6% Aggregates 532 3.4% 169 2.0% 907 3.5% 302 1.9% Others 99 0.6% 49 0.6% 192 0.7% 93 0.6% Eliminations (1,900) -12.3% (961) -11.1% (3,270) -12.4% (1,844) -11.5% Selling, admin. expenses and other gains & losses 1,944 100.0% 1,048 100.0% 3,611 100.0% 1,992 100.0% Cement, masonry cement and lime 1,709 87.9% 949 90.5% 3,176 87.9% 1,789 89.8% Concrete 78 4.0% 0 0.0% 145 4.0% 22 1.1% Railroad 112 5.8% 72 6.9% 196 5.4% 127 6.4% Aggregates 6 0.3% 2 0.2% 10 0.3% 4 0.2% Others 39 2.0% 25 2.4% 84 2.3% 49 2.5% Depreciation and amortization 722 100.0% 371 100.0% 1,316 100.0% 714 100.0% Cement, masonry cement and lime 547 75.8% 277 74.7% 1,001 76.1% 530 74.2% Concrete 23 3.2% 15 3.9% 34 2.6% 31 4.4% Railroad 142 19.6% 70 19.0% 263 20.0% 137 19.2% Aggregates 9 1.2% 7 2.0% 15 1.2% 13 1.8% Others 1 0.2% 1 0.4% 2 0.2% 3 0.4% Adjusted EBITDA 7,409 100.0% 4,484 100.0% 13,752 100.0% 9,116 100.0% Cement, masonry cement and lime 7,201 97.2% 4,452 99.3% 13,409 97.5% 9,139 100.3% Concrete (16) -0.2% (65) -1.4% (5) 0.0% (145) -1.6% Railroad 106 1.4% 75 1.7% 213 1.5% 95 1.0% Aggregates 98 1.3% 26 0.6% 101 0.7% 26 0.3% Others 21 0.3% (5) -0.1% 35 0.3% 0 0.0% Reconciling items: Effect by translation in homogeneous cash currency ("Inflation-Adjusted") (82) 2,656 1,182 6,586 Depreciation and amortization (2,465) (1,970) (4,621) (3,729) Tax on debits and credits banks accounts (255) (260) (480) (487) Finance gain (cost), net (310) 479 (50) 736 Income tax (1,884) (7,464) (3,693) (9,625) Share of profit of associates - - - - Impairment of property, plant and equipment - - - - NET PROFIT (LOSS) FOR THE PERIOD 2,413 (2,075) 6,090 2,597 View source version on businesswire.com: https://www.businesswire.com/news/home/20220811005722/en/
IR Contacts Marcos I. Gradin, Chief Financial Officer and Investor Relations Diego M. Jalón, Investor Relations Manager +54-11-4319-3050 investorrelations@lomanegra.com
