The profits of cement companies in 2022 came under pressure compared to 2021. Whitehopleman’s cement company financial performance benchmarking database contains financial performance data from more than fifty cement companies from around the world, including all the major multinationals, but also smaller regional and national cement companies.
The box plots in the figure show the range of gross profit margins for those cement companies in 2021 and 2022. Gross profit margins were down across the whole range of performance, the best performance was lower, the inter-quartile range was lower, the median was lower and worst performance was lower.
Of course, two consecutive years do make a trend. It will be interesting to see how profit margins hold up in 2023 as cement companies report their annual results early in the new year. Will the trend of reduced profit margins be continued? Or will profit margins recover?