Loma Negra Reports Steep Profit Decline in 4Q25 and FY25 Amid Weak Operating Performance

summarizeSummary

Loma Negra reported a sharp decline in net profit and Adjusted EBITDA for 4Q25 and FY25, alongside an increase in its net debt to LTM Adjusted EBITDA ratio, reflecting a challenging market.

check_boxKey Events

• Net Profit Plummets

  Net Profit decreased by 79.7% year-over-year in 4Q25 to Ps. 5,895 million and by 88.7% for FY25 to Ps. 22,821 million, primarily due to weaker operational performance and a loss in net financial results.

• Adjusted EBITDA Declines Significantly

  Consolidated Adjusted EBITDA fell by 33.4% year-over-year in 4Q25 to Ps. 44,293 million and by 24.0% for FY25 to Ps. 181,002 million, with margins contracting by 938 basis points and 454 basis points, respectively.

• Leverage Increases

  The Net Debt to LTM Adjusted EBITDA ratio increased to 1.47x as of December 31, 2025, up from 0.89x in FY24, indicating higher financial leverage.

• Bond Issuance Strengthens Debt Profile

  Subsequent to the quarter, the company issued a new US$60 million corporate bond with a 36-month tenor at a 6.5% interest rate, extending the overall average maturity of its debt.

auto_awesomeAnalysis

Loma Negra's financial results for both the fourth quarter and full fiscal year 2025 show significant deterioration in profitability and increased leverage. The substantial year-over-year declines in net profit and Adjusted EBITDA reflect a challenging operating environment in Argentina, characterized by a slower-than-expected demand recovery and persistent macroeconomic constraints. While the company successfully issued a new $60 million bond to extend debt maturity, the overall financial performance indicates ongoing headwinds. Investors should monitor the pace of economic recovery in Argentina and the company's ability to improve margins and reduce its net debt ratio in 2026.