GUADALAJARA, Mexico,
April 30, 2021 /PRNewswire/
-- Grupo Simec, S.A.B. de C.V. (NYSE: SIM) ("Simec") announced
today its results of operations for the three-month period ended
March 31, 2021.
Comparative first quarter of 2021 vs. first quarter of
2020
Net Sales
The net sales of the company increased derived from a higher
sales price. Sales passed from Ps. 8,500 million in the first
quarter of 2020 to Ps. 13,355 million in the same period of 2021.
Shipments of steel finished goods increased 10% from 622 thousand
tons in the first quarter of 2020 compared to 682 thousand tons in
the same period of 2021. Total sales outside of Mexico in the first quarter of 2021 increased
63% to reach Ps. 6,691 million compared to Ps. 4,096 million in the
same period of 2020. The Mexican sales increased 51% from Ps. 4,404
million in the first quarter of 2020 to Ps. 6,664 million in the
same period of 2021. The keep in sales can be explained due to a
higher volume shipped in 10% compared with the same period of 2020.
The average sales price per ton of steel finished goods increased
43% in the first quarter of 2021 compared with the same period of
2020.
Cost of Sales
The cost of sales increased from Ps. 6,960 million in the first
quarter of 2020 to Ps. 10,055 million in the same period of 2021.
Cost of sales as a percentage of net sales in the first quarter of
2021 and 2020 represented 75% and 82% respectively. The average
cost of sales per ton of steel finished goods increased 32% in the
first quarter of 2021 compared to the same period of 2020.
Gross Profit
The gross profit of the company increased 114% from Ps. 1,540
million in 2020 to Ps. 3,300 million in the same period of 2021.
Gross profit as a percentage of net sales in the first quarter of
2021 and 2020 represented 25% and 18% respectively. The increase in
gross profit is due to explained due to a higher volume shipped and
higher average sales price per ton of steel finished goods in the
first quarter of 2021 compared with the same period of 2020.
General, Sales and administrative Expenses
General, selling and administrative expenses increased 10%, from
Ps.4 31 million in the first quarter of 2020 to Ps. 475 million in
the same period of 2021 and representing 5% of net sales in 2020
compared to 4% for the period 2021.
Other Expenses (Income) net
The company recorded other expenses net of Ps. 13 million in the
first quarter of 2021 compared to other income net of Ps. 102
million in the same period of 2020.
Operating Income
The operating income increased from Ps. 1,211 million for the
first quarter of 2020 compared to Ps. 2,812 million in the same
period of 2021. Operating income as a percentage of net sales was
21% in the first quarter of 2021 compared to 14% in the same period
of 2020. The increase in operating income due to a higher volume
shipped and higher average sales price per ton of steel finished
goods in the first quarter of 2021 compared with the same period of
2020.
EBITDA
The EBITDA of the Company was of 1,526 million for the first
quarter of 2020, as a result of a net income of Ps. 1,914 million,
less minority stake of Ps. 19 million, plus income taxes of Ps. 578
million, less comprehensive financial cost of Ps. 1,262 million,
plus depreciation of Ps. 315 million to Ps 3,113 million in the
same period of 2021 as a result of a net income of Ps. 2,644
million, plus income taxes of Ps. 391 million, less comprehensive
financial cost of Ps. 224 million, plus depreciation of Ps.
302.
|
Consolidated
|
|
|
|
Million
|
|
Comparative first
quarter of 2021 vs first quarter of 2020,
|
|
|
2021
|
|
|
2020
|
|
Net income (loss)
attributable to Vale's stockholders
|
|
|
2,644
|
|
|
|
1,914
|
|
Loss attributable to
noncontrolling interests
|
|
|
|
|
|
|
(19)
|
|
Net income
(loss)
|
|
|
2,644
|
|
|
|
(1,640)
|
|
Depreciation,
depletion and amortization
|
|
|
302
|
|
|
|
315
|
|
Income
taxes
|
|
|
391
|
|
|
|
578
|
|
Financial results
income (loss)
|
|
|
(224)
|
|
|
|
(1,262)
|
|
EBITDA
|
|
|
3,113
|
|
|
|
1,526
|
|
|
|
|
|
|
|
|
|
Items to
reconciled adjusted EBITDA
|
|
|
|
|
|
|
|
|
Equity results and
other results in associates and joint ventures
|
|
|
0
|
|
|
|
0
|
|
Dividends received
and interest from associates and joint ventures (i)
|
|
|
0
|
|
|
|
0
|
|
Impairment and
disposal of non-current assets
|
|
|
0
|
|
|
|
0
|
|
Adjusted
EBITDA
|
|
|
3,113
|
|
|
|
1,526
|
Comprehensive Financial Cost
The Comprehensive financial cost in the first quarter of 2021
represented a net income of Ps. 224 million compared with an income
of Ps.1,262 million in the same period of 2020. Net interest was an
expense of Ps. 16 million in the first quarter of 2021 compared
with a net income of Ps. 44 million in the same period of 2020. At
the same time, Simec registered an exchange profit of Ps. 240
million in the first quarter of 2021 compared with an exchange
income of Ps.1,218 million in the same period of 2020.
Income Taxes
Income Taxes recorded an expense of Ps. 391 million in the first
quarter of 2021 (including the income of Ps. 8 million of deferred
income taxes) compared to an expense of Ps.578 million in the same
period of 2020 (including the benefits of Ps. 12 million of
deferred income taxes).
Net Income (loss)
As a result of the foregoing, net income increases 38% to Ps.
2,644 million in the first quarter of 2021 from Ps. 1,914 million
in the same period of previous year.
Financial Situation, Liquidity and Capital
Resources
As of March 31, 2021, Simec's
total consolidated debt consisted of U.S. $302,000 of 8 7/8% medium-term notes ("MTN's")
due 1998, or Ps. 6.2 million (accrued interest on March 31, 2021 was U.S. $650 or Ps. 13.4 million). As of
March 31, 2020, Simec's total
consolidated debt consisted of U.S. $302,000 of 8 7/8% medium-term notes ("MTN's")
due 1998, or Ps. 7.3 million (accrued interest on March 31, 2020 was U.S. $689 or Ps. 16.7 million).
Comparative first quarter of 2021 vs. fourth quarter of
2020
Net Sales
The net sales of the company increased 32% comparing Ps. 10,130
million in the fourth quarter of 2020 to Ps. 13,355 million in the
first quarter of 2021. The tons sales increased 13%, from 602
thousand tons in the fourth quarter of 2020 compared to 682
thousand tons in the first quarter of 2021. Total sales outside of
Mexico in the first quarter of
2021 increased 41% from Ps. 4,754 million on the last quarter of
2020 compared to Ps. 6,691 million in the first quarter of 2021.
The Mexican sales increased 24% from Ps. 5,376 million in the
fourth quarter of 2020 to Ps. 6,664 million in the first quarter of
2021. The increase mainly due to a greater volume shipped, better
average sales price per ton, increased 16%, in the first quarter of
2021 compared with the fourth quarter of 2020.
Cost of Sales
Cost of sales increased 20% from Ps. 8,356 million in the fourth
quarter of 2020 to Ps. 10,055 million in the first quarter of 2021.
Cost of sales as a percentage of net sales in the first quarter of
2021 represented 75% and in the last quarter of 2020 cost of sales
represented 82%. The average cost of finished steel products in the
first quarter of 2021 increased 6% compared to the fourth quarter
of 2020 as a result of an increased on the cost of raw
materials.
Gross Profit
Gross profit of the company for the first quarter of 2021
increased to Ps. 3,300 million in 2021 from Ps. 1,774 million in
the last quarter of 2020. Gross profit as a percentage of net sales
in the first quarter of 2021 was 25% and for the last period of
2020 was 18%. The increase in gross profit is due to a better
average sales price and volume of shipments on the first quarter of
2021 compared with the last quarter of 2020.
General, Sales and administrative Expenses
General, selling and administrative expenses decreased to Ps.
475 million in the first quarter of 2021 compared to Ps. 703
million in the fourth quarter of 2020, representing 4% for the
period of the first quarter 2021 and 7% for the period of the
fourth quarter 2020.
Other Expenses (Income) net
The company recorded other net expense of Ps. 13 million in the
first quarter of 2021 compared to other net income of Ps. 330
million in the fourth quarter of 2020.
Operating Income
Operating income increased 101% to Ps. 2,812 million for the
first quarter of 2021 compared to Ps. 1,401 million in the last
quarter of 2020. Operating income as a percentage of net sales was
21% in the first quarter of 2021, compared to 14% in the last
quarter of 2020. The increase in operating income is due to the
increase in production and volume of shipments, in the first
quarter of 2021 compared with the fourth quarter of 2020.
EBITDA
The EBITDA of the Company was of 1,716 million for the fourth
quarter of 2020, as a result of a net loss of Ps. 498 million, less
minority stake of Ps. 4 million, plus income taxes of Ps. 615
million, plus comprehensive financial cost of Ps. 1,288 million,
plus depreciation of Ps. 315 million to Ps 3,113 million in the
first quarter of 2021 as a result of a net income of Ps. 2,644
million, plus income taxes of Ps. 391 million, less comprehensive
financial cost of Ps. 224 million, plus depreciation of Ps.
302.
|
Consolidated
|
|
|
|
Million
|
|
Comparative first
quarter of 2021 vs fourth quarter of 2020,
|
|
|
2021
|
|
|
2020
|
|
Net income (loss)
attributable to Vale's stockholders
|
|
|
2,644
|
|
|
|
(498)
|
|
Loss attributable to
noncontrolling interests
|
|
|
|
|
|
|
(4)
|
|
Net income
(loss)
|
|
|
2,644
|
|
|
|
(502)
|
|
Depreciation,
depletion and amortization
|
|
|
302
|
|
|
|
315
|
|
Income
taxes
|
|
|
391
|
|
|
|
615
|
|
Financial results
income (loss)
|
|
|
(224)
|
|
|
|
1,288
|
|
EBITDA
|
|
|
3,113
|
|
|
|
1,716
|
|
|
|
|
|
|
|
|
|
Items to
reconciled adjusted EBITDA
|
|
|
|
|
|
|
|
|
Equity results and
other results in associates and joint ventures
|
|
|
0
|
|
|
|
0
|
|
Dividends received
and interest from associates and joint ventures (i)
|
|
|
0
|
|
|
|
0
|
|
Impairment and
disposal of non-current assets
|
|
|
0
|
|
|
|
0
|
|
Adjusted
EBITDA
|
|
|
3,113
|
|
|
|
1,716
|
Comprehensive Financial Cost
Comprehensive financial cost in the first quarter of 2021
represented a net income of Ps. 224 million compared with a net
expense of Ps. 1,288 million in the fourth quarter of 2020. Net
interest expense of the first quarter of 2021 was of Ps. 16 million
compared with an interest net income of Ps. 15 million in the last
quarter of 2020. Likewise, an exchange profit of 240 million was
recorded in the first quarter of 2021 against an exchange loss of
Ps. 1303 million in the last quarter of 2020.
Income Taxes
Income Taxes recorded an expense of Ps. 391 million in the first
quarter of 2021 (including Ps. 8 million of deferred income taxes)
compared with an expense of Ps. 615 million in the fourth quarter
of 2020 (including Ps. 66 million of deferred expense taxes).
Net Income (loss)
As a result of the foregoing, the net income of the first
quarter of 2021 is of Ps. 2,644 million compared net loss Ps. 498
million of the fourth quarter 2020.
|
Quarter
|
|
|
|
|
|
|
(millions of
pesos)
|
1Q'21
|
1Q
'20
|
4Q
20
|
1Q´21vs
1Q´20
|
1Q´21 vs
4Q '20
|
|
Sales
|
13,355
|
8,500
|
10,130
|
57%
|
32%
|
|
Cost of
Sales
|
10,055
|
6,960
|
8,356
|
44%
|
20%
|
|
Gross
Profit
|
3,300
|
1,540
|
1,774
|
114%
|
86%
|
|
Selling, General and
Adm. Expenses
|
475
|
431
|
703
|
10%
|
(32%)
|
|
Other Income
(Expenses), net
|
(13)
|
102
|
330
|
(113%)
|
(104%)
|
|
Operating
Profit
|
2,812
|
1,211
|
1,401
|
132%
|
101%
|
|
EBITDA
|
3,113
|
1,526
|
1,716
|
104%
|
81%
|
|
Net Income
|
2,644
|
1,914
|
(498)
|
38%
|
(706%)
|
|
Sales Outside
Mexico
|
6,691
|
4,096
|
4,754
|
63%
|
41%
|
|
Sales in
Mexico
|
6,664
|
4,404
|
5,376
|
51%
|
24%
|
|
Total Sales
(Tons)
|
682
|
622
|
602
|
10%
|
13%
|
|
Cost per
Ton
|
14,743
|
11,190
|
13,880
|
32%)
|
6%
|
|
Product
|
Thousands of
Tons
Jan-Mar
2021
|
Million of
Pesos
Jan-Mar 2021
|
Average Price per
Ton
Jan-Mar
2021
|
Thousands of
Tons
Jan-Mar
2020
|
Million of
Pesos
Jan-Mar
2020
|
Average Price per
Ton
Jan-Mar
2020
|
Thousands of
Tons
Oct-Dec
2020
|
Million of
Pesos
Oct-Dec 2020
|
Average Price per
Ton
Oct-Dec
2020
|
|
Commercial
Profiles
|
435
|
8,114
|
18,653
|
398
|
4,780
|
12,010
|
382
|
6,232
|
16,314
|
|
Special
Profiles
|
247
|
5,241
|
21,219
|
228
|
3,720
|
16,682
|
220
|
3,898
|
17,718
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
682
|
13,355
|
19,582
|
622
|
8,500
|
13,666
|
602
|
10,130
|
16,827
|
Any forward-looking information contained herein is
inherently subject to various risks, uncertainties and assumptions
which, if incorrect, may cause actual results to vary materially
from those anticipated, expected or estimated. The company assumes
no obligation to update any forward-looking information
contained herein.
Contact:
José Luis
Tinajero
Mario Moreno Cortez
Grupo Simec, S.A.B. de C.V.
Calzada Lázaro Cárdenas 601
44440 Guadalajara, Jalisco,
México
52 55 1165 1025
52 33 3770 6734
View original
content:http://www.prnewswire.com/news-releases/grupo-simec-announces-results-of-operations-for-the-first-quarter-of-2021-ended-march-31-2021-301281261.html
SOURCE Grupo Simec, S.A.B. de
C.V.
