GCC S A B de C V (GCC) Q4 2025 earnings summary

Executive summary

• Achieved record full-year sales of $1.41 billion in 2025, up 3.1% year-over-year, driven by strong U.S. volume growth and disciplined execution.

• Q4 2025 sales rose 7.3% year-over-year to $359.8 million, with record EBITDA margin of 39.6%.

• Maintained strong operating discipline, cost management, and capital allocation amid cyclical market conditions.

• Safety performance improved, with recordable incidents declining 10.5% year-over-year.

• Continued investment in training, sustainability, and network expansion, notably the Odessa project.

Financial highlights

• Full-year EBITDA was $491.8 million (margin 34.9%), down 1.7% year-over-year; Q4 EBITDA increased 17.3% to $142.5 million (margin 39.6%).

• Consolidated net income for 2025 was $299.4 million, down 8.1% year-over-year; Q4 net income rose 5.6% to $84.5 million.

• Free cash flow for the year was $349.1 million, up 8.5% year-over-year, with a 71% EBITDA conversion rate.

• Returned $45 million to shareholders via buybacks and dividends.

• Cost of sales increased 7.2% year-over-year due to higher fuel, power, and logistics costs.

Outlook and guidance

• 2026 guidance: U.S. cement volumes to grow high single digits, pricing flat; ready-mix volumes to decline high single digits, pricing flat.

• Mexico: cement and concrete volumes and pricing expected to grow low single digits.

• Consolidated EBITDA expected to grow mid-single digits, with margin pressure from logistics costs during Odessa ramp-up; FCF conversion rate above 60%.

• CapEx for 2026 projected at $270 million, mainly for Odessa completion and logistics.

• Focus on restoring margins to 2024 levels and executing the Odessa ramp-up.