Loma Negra reported its fourth‑quarter 2025 results, posting net sales of US$152 million—a 1.7% year‑over‑year decline that nevertheless surpassed analyst expectations of US$122.95 million.
Net profit fell to Ps. 5,895 million from Ps. 29,096 million YoY, reflecting a sharp decline in earnings. The company did not disclose a USD EPS figure; the reported net profit decline represents roughly an 80% drop in peso terms.
The decline is driven by a contraction in cement and concrete volumes amid Argentina’s construction slowdown. Despite lower volumes, the company maintained a consolidated adjusted EBITDA margin of 19.7%, down 938 basis points from 29.0% YoY, indicating margin compression.
CEO Sergio Faifman said, "2025 marked a year of gradual recovery for Argentina’s economy and for the cement industry. Volumes improved year‑over‑year, but the rebound has been slower than initially expected, and the industry still has significant ground to cover to return to 2023 levels." He added, "While the pace of normalization remains moderate, we are optimistic that the country is moving in the right direction as macroeconomic stability continues to consolidate."
Management reiterated its 2026 outlook, highlighting expected recovery in bulk cement demand driven by the RIGI investment program and expanding mortgage credit. The company remains focused on leveraging its rail network and energy‑efficient production to protect margins as volumes rebound.
The results underscore the impact of Argentina’s macroeconomic volatility on the cement sector, with revenue growth offset by volume contraction and margin pressure. Investors will likely view the earnings decline as a short‑term effect of the construction slowdown, while the company’s cost discipline and integrated operations provide a foundation for a gradual rebound.
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