Cementos Pacasmayo S.A.A. Reports Solid Growth in Third Quarter 2025 Financial Results
Pacasmayo achieves higher revenues, profitability, and sales volumes driven by sustained construction demand and infrastructure growth in Peru
Cementos Pacasmayo S.A.A. and its subsidiaries (NYSE: CPAC; BVL: CPACASC1) (“the Company” or “Pacasmayo”), a leading cement producer and key supplier to the Peruvian construction industry, today announced its consolidated financial results for the third quarter (“3Q25”) and the first nine months (“9M25”) of 2025.
The results were prepared in accordance with International Financial Reporting Standards (IFRS) and are presented in Peruvian Soles (S/).
Overview
Cementos Pacasmayo S.A.A. delivered a strong operational and financial performance during the third quarter of 2025, building upon the company’s strategic focus on operational excellence, customer service, and efficient cost management. The quarter reflected solid growth across key metrics, driven by increased infrastructure-related activity and higher demand for bagged cement.
For the three months ended September 30, 2025, Pacasmayo achieved robust sales growth, profitability improvement, and continued leadership in Peru’s cement market. The company’s ability to maintain consistent performance despite inflationary pressures and evolving macroeconomic conditions underscores its resilient business model and disciplined execution.
Third Quarter 2025 Highlights (3Q25)
All comparisons are made with the third quarter of 2024 (3Q24) unless otherwise stated.
1. Volume Growth and Sales Expansion
During the quarter, the sales volume of cement, concrete, and precast products increased by 9.0%, reflecting healthy market demand and an expansion of infrastructure projects across various regions in northern Peru. The growth in bagged cement sales also contributed significantly to overall volume performance, signaling ongoing recovery in small-scale construction and self-construction segments — traditionally strong markets for Pacasmayo.
The combination of improved demand from public works and residential construction resulted in a steady upward trend in production and distribution volumes.
2. Revenue Performance
Total revenues increased by 10.9% compared to 3Q24, aligning closely with the increase in sales volume. The growth demonstrates the company’s ability to effectively capture opportunities in Peru’s evolving construction landscape. Infrastructure investments — both government-led and private — were key drivers of this increase, especially in regions where Pacasmayo’s logistical and distribution networks provide a competitive advantage.
3. Profitability and EBITDA Performance
Pacasmayo’s consolidated EBITDA reached S/160.6 million, representing a 3.9% year-over-year increase. This improvement was primarily due to higher sales volumes and revenue growth.
The EBITDA margin stood at 28.0%, a 1.9 percentage point decrease compared to 3Q24. The decline was largely attributed to higher operating expenses, specifically increased personnel costs following the renewal of the company’s collective bargaining agreement. The union-negotiated bonus, which is adjusted every three years, led to a one-time impact during this first year of implementation.
Despite the margin contraction, Pacasmayo’s profitability remains among the strongest in the regional cement industry, reflecting disciplined operational management and continued optimization of production and logistics.
4. Net Income Growth
The company’s net income rose by 14.4%, reaching S/71.5 million, primarily due to higher operating income, increased financial income, and lower interest expenses on loans. The reduction in financial costs was the result of the company’s ongoing debt amortization strategy, which has improved Pacasmayo’s balance sheet and financial flexibility.
This performance underscores the company’s commitment to maintaining a conservative financial structure while pursuing sustainable growth.
5. Market Recognition
Pacasmayo once again reinforced its strong corporate reputation. According to MERCO (Monitor Empresarial de Reputación Corporativa), the company continued to lead the cement sector in Peru for the tenth consecutive year. Moreover, for the third consecutive year, Pacasmayo was listed among the Top 10 companies in MERCO’s overall business and leadership ranking.
This distinction highlights the company’s long-standing dedication to ethical management, social responsibility, and environmental stewardship — all essential pillars of its corporate culture.
Nine-Month 2025 Highlights (9M25)
All comparisons are made with the first nine months of 2024 (9M24) unless otherwise stated.
1. Continued Demand Growth
For the nine months ended September 30, 2025, sales volume of cement, concrete, and precast products increased by 6.8%, reflecting sustained growth in both bagged cement and infrastructure projects. The expansion of public infrastructure programs — including road networks, water and sanitation systems, and regional development projects — contributed significantly to this performance.
Pacasmayo continues to benefit from its proximity to major construction hubs in northern Peru, enabling cost-effective delivery and strong customer relationships across its distribution network.
2. Revenue Growth
Revenues rose by 7.3% during the first nine months of 2025, consistent with volume growth and supported by stable pricing strategies. The company maintained its focus on value creation while remaining competitive in a dynamic market environment.
3. EBITDA and Margins
Consolidated EBITDA for 9M25 reached S/425.5 million, a 4.6% increase compared to the same period in 2024. This improvement was driven primarily by the higher sales volume and effective cost management.
The EBITDA margin remained solid at 27.3%, essentially unchanged from the previous year. The company’s ability to sustain this level of profitability demonstrates effective control of input costs and continued efficiency in manufacturing and distribution operations.
4. Net Income
Pacasmayo’s net income grew by 15.6%, reaching S/172.0 million. The increase was fueled by a combination of higher operating income, lower financial expenses due to continued debt amortization, and a favorable foreign exchange effect. In addition, higher financial income contributed positively to the bottom line.
The company’s prudent financial management and hedging practices have helped mitigate the impact of currency volatility and interest rate fluctuations in recent periods.
Strategic and Operational Insights
Pacasmayo’s growth trajectory during 2025 is closely aligned with Peru’s broader infrastructure and construction recovery. Public investment in transport, housing, and sanitation projects has accelerated, and private sector participation has gradually improved.
The company continues to prioritize operational efficiency, sustainability, and customer satisfaction. Investments in technology, process automation, and logistics optimization have enabled Pacasmayo to enhance production capacity while minimizing environmental impact.
Furthermore, Pacasmayo remains committed to maintaining its leadership in sustainability within the Peruvian cement industry. Initiatives focusing on reducing carbon emissions, increasing energy efficiency, and promoting circular economy practices remain central to its long-term strategy. The company’s environmental management systems and community engagement programs have consistently positioned it as a responsible and trusted partner in Peru’s industrial and social development.
Source Link: https://www.businesswire.com/
