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Mexico's Cemex posts quarterly loss due to coronavirus-led lockdowns

Mexican cement producer Cemex SAB de CV on Monday reported a loss for the second quarter, hurt by sales declines across most of its markets due to coronavirus-led lockdowns.

Adds CEO comment, background, details on results

July 27 (Reuters) - Mexican cement producer Cemex SAB de CV CMXCPO.MX on Monday reported a loss for the second quarter, hurt by sales declines across most of its markets due to coronavirus-led lockdowns.

The United States, Cemex's biggest market, was the only region to report positive sales growth of 1%.

Its other markets including Mexico, Europe, Middle East, Africa and Asia, and South, Central America and the Caribbean posted declines of between 10% and 30%.

Net loss was $44 million in the second quarter, compared with a profit of $155 million a year earlier.

"In the quarter, we saw a rapid V-shaped volume recovery in our core products from trough levels in April, reaching slightly below pre-COVID-19 volumes in June," Chief Executive Officer Fernando González said.

"We expect that COVID-19 will continue to challenge our operations in new ways over the next few quarters."

Monterrey-based Cemex, which operates in more than 50 countries, said earlier this year it was delaying capital expenditure and cutting a percentage of employees' salaries or allowances for a period of three months to cut costs amid the coronavirus crisis.

(Reporting by Ankit Ajmera in Bengaluru; Editing by Aditya Soni)

((ankit.ajmera@thomsonreuters.com; within U.S. +1 646 223 8780, outside U.S. +91 80 6182 2596;))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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