Operating profit declines
Operating profit in the Group region Latin America was down 8.2 percent to CHF 663 million as declines were reported in a number of Group companies. Like-for-like operating profit was down 1.1 percent. However, Holcim was able to increase its operating profit margin in the Group region.
More favorable development in Mexico led to increases in operating profit for the Group company. While operating profit was down in Costa Rica, Nicaragua reported solid improvements. Holcim El Salvador, Holcim Colombia, and Holcim Ecuador all reported moderate decreases in their financial performance. Brazil suffered from lower prices and increased operating costs that lead to a significant drop in operating profit. Despite several initiatives to reduce fixed costs, Cemento Polpaico reported lower financial performance mainly because of the market situation. In Argentina, higher price levels were not able to compensate for the volume decrease and cost inflation leading to a lower financial performance.