Cementos Argos (CEMARGOS) investor relations material

Executive summary

• Achieved record shareholder distributions in 2025, returning over COP 3.5 trillion (USD 1.2 billion+) via dividends, buybacks, and spin-offs, boosting total shareholder returns to over 700% in USD since the Sprint program launch.

• Delivered adjusted EBITDA of COP 1.3 trillion with a 25% margin, meeting or surpassing guidance a year ahead of schedule.

• Advanced U.S. market reentry with the launch of an aggregates platform, first shipments to Tampa, new port positions, and appointment of a new CEO for Argos Materials.

• Launched SPRINT 4.0, a two-year program targeting sustained profitability, enhanced shareholder returns, and U.S. growth.

• Strong sustainability performance, scoring 86/100 in the S&P Corporate Sustainability Assessment.

Financial highlights

• Full-year revenues reached COP 5.2 trillion, up 6.6% year-over-year; adjusted EBITDA margin expanded 215 bps to 25%.

• Net income rose 157% year-over-year to COP 798 billion, with net margin improving to 15.5%.

• Cement dispatches totaled 9.3 million tons (flat year-over-year); ready-mix volumes fell 11–12% to 2.3 million m³.

• Q4 EBITDA was COP 347 billion, with a 27% margin.

• Free cash flow conversion ratio reached 76% of EBITDA in Colombia.

Outlook and guidance

• 2026 guidance: EBITDA margin expected between 24–26% and ROCE above 16%.

• Targeting adjusted EBITDA of COP 1.3–1.4 trillion (~$350 million), a midpoint increase of 6% over 2025.

• CapEx for 2026: $80–100 million in Latin America (at least $65 million for maintenance), $80–100 million for U.S. growth.

• U.S. aggregates business aims for EBITDA positive by 2027 and $200–300 million in EBITDA within five years.

• Midterm net debt/EBITDA target of 2x within 3–5 years.