Save to read list Published by Alfie Lloyd-Perks, Assistant Editor World Cement, Thursday, 14 May 2026 08:59

Consolidated global net revenue for the first quarter of 2026 was R$6.3 billion, up 15%, excluding the effect of changes in foreign exchange rates, compared to 1Q25.

Global cement sales totalled 8 million t, a 4% increase compared to the first quarter of 2025.

Consolidated adjusted EBITDA totaled R$762 million in 1Q26, a 25% increase, excluding the effect of changes in foreign exchange rates, compared to 1Q25, with an adjusted EBITDA margin of 12%.

Investments (Capex) in the quarter totalled R$742 million, up 35% compared to 1Q25, aligned with the investment strategy focused on growth, structural competitiveness, decarbonisation, and new businesses.

The investment plan for Brazil continues to be implemented at a fast pace, to make 3.7 million t of additional capacity available in the country by the end of 2026.

Financial leverage at the end of 1Q26 was 1.90x net debt/adjusted EBITDA, down 0.05x compared to the same period in 2025.

In March, the company issued R$650 million in debentures for liability management, focusing on cost reduction and maturity extension.

Votorantim Cimentos, a building materials and sustainable solutions company, ended the first quarter of 2026 with global net revenue of R$6.3 billion, a 15% increase, excluding the effect of changes in foreign exchange rates, compared to the same period of the previous year. This positive performance reflected favourable operational dynamics resulting from the geographic diversification of the Votorantim Cimentos' operations, with growth in volumes and prices. Votorantim Cimentos' global cement sales in the first quarter totalled 8 million t, a 4% increase compared to the first quarter of 2025.

Consolidated adjusted EBITDA (earnings before interest, taxes, depreciation, and amortisation) totalled R$762 million in the first three months of 2026, up 25% in local currency compared to the same period in 2025, with an EBITDA margin of 12%, a 1 percentage point increase over 1Q25. This performance was sustained by growth in net revenue during the period.

Net income for the period, although negative at R$154 million due to seasonal factors, grew 53% compared to the first quarter of 2025. This improvement reflects primarily the strong increase in adjusted EBITDA, driven by the company’s better operational performance.

We finished the first quarter with solid operational and financial performance, posting consistent growth in a period when the sector was affected by seasonal factors. We made steady progress regarding our investments focused on structural competitiveness, capacity expansion, decarbonization and new businesses. In the quarter in which we celebrated our 90th anniversary, we remained firmly committed to the execution of our strategic mandate,” said Osvaldo Ayres, global CEO, Votorantim Cimentos.

Investments (Capex) in the quarter totalled R$742 million, 35% higher than in 1Q25. This increase resulted from Votorantim Cimentos’ investment strategy focused on modernization and structural competitiveness, as well as projects related to decarbonization commitments and new businesses. Of the total amount, 21% was directed to expansion projects. A highlight in the quarter was the startup of a new mill at the Edealina plant, which is part of an expansion project that will double the site’s cement production capacity.

Within the scope of the company’s R$5 billion investment plan for Brazil in the period 2024 to 2028, R$2.8 billion is currently being invested in projects with flexibility to accelerate or reduce the pace of investments, depending on economic performance and market conditions. The investment plan for Brazil continues to be implemented at a fast pace, on track to make 3.7 million t of additional capacity available in the country by the end of 2026. In addition to Brazil, Votorantim Cimentos also advanced investments in acquisitions of concrete and aggregate businesses in North America and Europe.

“We maintained our robust financial position and discipline in capital allocation, consistently executing our active liability management strategy. A debenture issued during the quarter enabled us to raise funds under favourable conditions, despite the challenging macroeconomic environment,” said Antonio Pelicano, global CFO, Votorantim Cimentos.

In March, the company issued R$650 million in debentures maturing in 2033, focusing on reducing the cost of debt and extending its maturity profile. Liquidity remains solid, with R$4.6 billion in cash to cover obligations for the next four years.

At the end of the first quarter, leverage, measured by the net debt/adjusted EBITDA ratio, was 1.90x, down 0.05x compared to 1Q25, remaining within parameters considered adequate for Votorantim Cimentos’ business risk profile.

Performance by region

In Brazil, net revenue grew 18% in the first quarter of 2026, totalling R$3.7 billion, primarily reflecting higher volumes during the period and positive price dynamics in the domestic market in relation to the previous year. This performance was boosted by higher demand in Brazil, driven by the execution of housing programs and infrastructure investments. Adjusted EBITDA in the quarter totaled R$614 million, up 44% compared to 1Q25. This increase reflected primarily the strong growth in net revenue, which enabled significant operational leverage.

In North America, net revenue in the quarter totalled R$1.1 billion, on par with 1Q25 (+1%), excluding the effect of changes in foreign exchange rates. This demonstrated the Votorantim Cimentos' resilience in the context of lower market demand brought by less favourable weather conditions – which commonly affects performance during the winter – compared to the same period last year. Adjusted EBITDA was negative R$229 million, compared to negative R$136 million in the same period of the previous year. This variation reflects primarily the absence of positive one-off factors recorded in the comparison base, in addition to the timing of operational shutdowns for plant maintenance.

In Europe and Asia, consolidated net revenue grew 10% in the period, totalling R$952 million in 1Q26. In Spain, the results benefitted from higher demand, which sustained volume growth during the period, coupled with better prices. In Türkiye, despite the influence of seasonal factors, most notably adverse weather conditions, the company had solid performance, benefitting from investments already made and delivering higher volumes, resulting in positive execution despite the less favorable environment. Adjusted EBITDA for the region totalled R$278 million, up 18% compared to 1Q25, reflecting the growth in net revenue and the positive contribution from both the company’s geographic reach and product portfolio, as well as better cost efficiency.

In Latin America, net revenue in the quarter grew 43% in local currency in 1Q26 compared to 1Q25, totalling R$300 million. This result was driven by better market conditions, with positive price and volume dynamics in both Bolivia and Uruguay, despite the challenging macroeconomic environment in Latin America, reflecting the company’s ability to boost its performance in both countries. Adjusted EBITDA for the region more than doubled, totaling R$82 million, driven primarily by higher prices and stable costs.

Read the article online at: https://www.worldcement.com/the-americas/14052026/votorantim-cimentos-ends-first-quarter-of-2026-with-increased-net-revenue-sales-volume-and-investment/