Boston, MA 11/11/2013 (wallstreetpr) – Cemex SAB de CV (ADR) (NYSE:CX) has had a mixed third as far as its results go. The cement group based out of Mexico, reported much higher sales in the U.S which resulted in the company shares going up by 4% in the U.S markets, but the downside of the results was that its losses in the period were higher than expected.
The company in recent years has struggled as there has been a slowdown in building activity around the world and it has made some very expensive buys. Lower spending by the Mexican government on infrastructure gas meant that the company has had poor sales and bigger losses. Its losses till the end of the present quarter were $155million.
As one of the largest global cement manufacturers the company has a presence in all parts of the world and this presence is leading its sales charge. The company has reported that the growth in residential building activity in the U.S has helped its sales grow. In addition in Europe the company has seen a growth in demand for its products.
The company’s reported a rise of 6% in its earning in Europe in this quarter, as compared to the same period last year. In the same period last year it reported earnings of $1105 million, while this year it reported earnings of $1169 million.
In the Mediterranean region the company higher sales of 9% over the same period last year. The same story was reported in Asia where its sales went up by 5%. The South America and the Caribbean markets saw the company reporting a rise of 15% in its earnings.
Though it was not all good news for the company as it proposal with German cement maker Holcim is being investigated by the EU anti-trust regulatory body. As of October 22, 2013, this year the top EU body is going into the implications of the deal- in which the two companies will exchange their European asses and will that give Holcim unparalleled hold over the German market and will that result in the price of cement going higher.
It is thought that the European body will decide by the 10’Th of March next year.
