CONCREAT Holdings Philippines (formerly Cemex Holdings Philippines), a subsidiary of the DMCI Group, sharply trimmed its net loss in 2025 to P3.5 billion, from P23.4 billion a year earlier, and is now targeting a turnaround this year despite lingering industry challenges.
President and CEO Herbert Consunji told stakeholders during the company’s annual stockholders’ meeting held Monday that Concreat was “very, very confident” of achieving a turnaround in three years’ time after a year deeply focused on stabilizing operations and rebuilding capacity under the DMCI Group.
Core net loss narrowed slightly to P3.5 billion from P3.7 billion while earnings before interest, taxes, depreciation and amortization losses dropped 80 percent to P131 million.
Revenue declined by 5 percent due to lower cement prices, even as sales volume held at 4 million tons.
Consunji said 2025 marked a transition year as Concreat completed major maintenance works, streamlined logistics, and improved plant reliability following DMCI’s acquisition of the company from its Mexican parent, Cemex S.A.B. de C.V.
He said these efforts were made despite the absence of extensive due diligence prior to the takeover.
The company commissioned a new 1.5-million-ton production line last year, raising total annual capacity to 7.2 million tons, while also closing 11 external warehouses, investing in transport equipment and expanding loading and storage facilities to improve delivery efficiency.
To manage costs, Concreat shifted to locally sourced coal from Semirara Mining and Power Corp., reducing its exposure to foreign exchange volatility, and reintroduced its Ordinary Portland Cement product to target large-scale construction demand, including projects within the DMCI group.
Still, the company had to face headwinds from imported cement, supply disruptions tied to a temporary mining halt in Cebu, and weather-related disturbances that led to delays and unplanned shutdowns.
Concreat has earmarked P1.3 billion for maintenance and P1.6 billion for capital expenditures this year while also simplifying its logistics network by cutting external warehouses and terminals to just one by the second half of the year.
It added that it had secured P5 billion in long-term funding and a P4.5-billion refinancing facility to support its capital program and reduce borrowing costs.
“This year, our target is to be operating cash positive,” Consunji said as the company navigates currently elevated fuel prices by leveraging synergies within the DMCI group.
Concreat shares added P0.01, or 1.20 percent, to close at P0.84 each on Monday.
