EX-99.2 3 d704826dex992.htm FOURTH QUARTER 2018 RESULTS FOR CEMEX LATAM HOLDINGS, S..A.

Fourth quarter 2018 results for CEMEX Latam Holdings, S..A.

Exhibit 2

2018 FOURTH QUARTER RESULTS ï,§ Stock Listing Information Colombian Stock Exchange S.A. Ticker: CLH ï,§ Investor Relations Pablo Gutiérrez +57 (1) 603-9051 E-mail: pabloantonio.gutierrez@cemex.com

OPERATING AND FINANCIAL HIGHLIGHTS January—December Fourth Quarter 2018 2017 % var 2018 2017 % var Consolidated cement volume 6,649 7,133 (7%) 1,679 1,679 0% Consolidated domestic gray cement volume 5,855 6,241 (6%) 1,489 1,485 0% Consolidated ready-mix volume 2,604 2,908 (10%) 659 712 (7%) Consolidated aggregates volume 6,265 6,985 (10%) 1,471 1,751 (16%) Net sales 1,108 1,206 (8%) 260 278 (7%) Gross profit 459 536 (14%) 112 127 (11%) as % of net sales 41.4% 44.4% (3.0pp) 43.2% 45.5% (2.3pp) Operating earnings before other expenses, net 168 239 (30%) 39 55 (30%) as % of net sales 15.1% 19.8% (4.7pp) 14.9% 19.7% (4.8pp) Controlling interest net income (loss) 63 46 36% 10 -33 N/A Operating EBITDA 243 314 (23%) 55 72 (24%) as % of net sales 21.9% 26.0% (4.1pp) 21.1% 25.9% (4.8pp) Free cash flow after maintenance capital 54 76 (29%) 19 -1 n/a expenditures Free cash flow 52 45 16% 18 -1 N/A Net debt 805 882 (9%) 805 882 (9%) Total debt 842 927 (9%) 842 927 (9%) Earnings of continuing operations per share 0.13 0.14 (8%) 0.02 (0.01) N/A Shares outstanding at end of period 557 557 0% 549 557 (1%) Employees 4,067 4,297 (5%) 4,067 4,297 (5%) Cement and aggregates volumes in thousands of metric tons. Ready-mix volumes in thousands of cubic meters. In millions of US dollars, except volumes, percentages, employees, and per-share amounts. Shares outstanding are presented in millions. Consolidated net sales during the fourth quarter of 2018 declined by 7% Operating EBITDA during the fourth quarter of 2018 declined by 24% compared to those of the fourth quarter of 2017. On a like-to-like basis, compared to that of the fourth quarter of 2017. During the full year adjusting for foreign exchange fluctuations, net sales during the quarter operating EBITDA decreased by 23% compared to that of 2017. The full declined by 2%. For the full year consolidated net sales decreased by 8% year decline was mainly due to lower volumes and increased energy compared to those of 2017. The full year decline was mostly due to costs. The impact of lower volumes on EBITDA in Colombia, Panama, and lower consolidated volumes and lower consolidated ready-mix and Nicaragua was $27, $21 and $13 million dollars, respectively. aggregates prices, in U.S. dollar terms. Operating EBITDA margin during the fourth quarter of 2018 declined by Cost of sales as a percentage of net sales during 2018 increased by 3pp 4.8pp, compared to that of the fourth quarter of 2017. During 2018 from 55.6% to 58.6%, on a year-over-year basis. operating EBITDA margin decreased by 4.1pp compared to that of 2017. Operating expenses as a percentage of net sales during 2018 increased Controlling interest net income during 2018 reached US$63 million, an by 1.5pp from 24.7% to 26.2%, compared to those of 2017. increase of 36% versus 2017. During the fourth quarter of 2018 our controlling interest net income reached US$10 million, an improvement of US$43 million compared to that of the fourth quarter of 2017. Total debt at the end of the year declined to US$842 million, 9% lower than that of 2017. 2018 Fourth Quarter Results Page 2

OPERATING RESULTS Colombia January—December Fourth Quarter 2018 2017 % var 2018 2017 % var Net sales 524 566 (7%) 125 134 (6%) Operating EBITDA 95 113 (16%) 23 30 (24%) Operating EBITDA margin 18.2% 20.0% (1.8pp) 18.3% 22.6% (4.3pp) In millions of US dollars, except percentages. Domestic gray cement Ready-Mix Aggregates January—January—January— Fourth Quarter Fourth Quarter Fourth Quarter December December December Volume (6%) 4% (11%) (8%) (14%) (15%) Price (USD) 1% (5%) 0% (6%) (1%) (4%) Price (local currency) 2% 2% 0% 1% (0%) 4% Year-over-year percentage variation. In Colombia, during the fourth quarter our domestic gray cement volume increased by 4%, while our ready-mix and aggregates volumes declined by 8% and 15%, respectively, compared to those of the fourth quarter of 2017. For the full year, our domestic gray cement, ready-mix and aggregates volumes decreased by 6%, 11%, and 14%, respectively, compared to those of 2017. We are encouraged by the improving trends in the Colombian economy and in national cement demand. During 4Q18, our cement volumes increased by 4% year-over-year and by 7% sequentially. Our cement, ready-mix and aggregates prices increased by 2%, 1% and 4%, respectively, during the quarter on a year-over-year basis in local-currency terms. Panama January—December Fourth Quarter 2018 2017 % var 2018 2017 % var Net sales 222 266 (17%) 53 54 (3%) Operating EBITDA 64 109 (41%) 13 21 (37%) Operating EBITDA margin 29.0% 40.8% (11.8pp) 25.0% 38.5% (13.5pp) In millions of US dollars, except percentages. Domestic gray cement Ready-Mix Aggregates January—January—January— Fourth Quarter Fourth Quarter Fourth Quarter December December December Volume (18%) (8%) (15%) (4%) (8%) (10%) Price (USD) (1%) (2%) (7%) (2%) 1% 8% Price (local currency) (1%) (2%) (7%) (2%) 1% 8% Year-over-year percentage variation. In Panama, during the fourth quarter our domestic gray cement, ready-mix and aggregates volumes declined by 8%, 4%, and 10%, respectively, compared to those of the fourth quarter of 2017. During 2018, our domestic gray cement, ready-mix and aggregates volumes decreased by 18%, 15%, and 8%, respectively, compared to those of 2017. We estimate that national-cement demand declined by around 6% during the quarter and 13% during 2018. Industry volumes were particularly low during the second quarter due to the construction-workers strike and remained quite low for the rest of the year. During 2018, improvement in infrastructure activity was more than offset by lower demand from both the residential and the industrial-and-commercial sectors, which did not improve despite a 4.3% GDP growth during 2018. In the infrastructure sector, the most relevant projects during the quarter were the Panama Northern Corridor highway, the Vía Transísmica highway, the urban renovation of Colón City, the ITSE College, as well as the metro’s second line. 2018 Fourth Quarter Results Page 3

OPERATING RESULTS Costa Rica January—December Fourth Quarter 2018 2017 % var 2018 2017 % var Net sales 139 149 (7%) 27 35 (23%) Operating EBITDA 45 53 (15%) 9 13 (35%) Operating EBITDA margin 32.6% 35.7% (3.1pp) 31.3% 37.3% (6.0pp) In millions of US dollars, except percentages. Domestic gray cement Ready-Mix Aggregates January—January—January— Fourth Quarter Fourth Quarter Fourth Quarter December December December Volume 1% (16%) 6% (4%) 9% 9% Price (USD) 2% (2%) 3% 7% (12%) (9%) Price (local currency) 3% 4% 5% 14% (11%) (3%) Year-over-year percentage variation. In Costa Rica, during the fourth quarter our domestic gray cement and ready-mix volumes declined by 16% and 4%, respectively, while our aggregates volumes increased by 9%, compared to those of the fourth quarter of 2017. For the full year, our domestic gray cement, ready-mix and aggregates volumes increased by 1%, 6% and 9%, respectively, compared to those of 2017. We estimate that national cement consumption declined by 7%, both during the quarter and the full year. Increased activity in the industrial-and-commercial sector was more than offset by lower demand from the residential and infrastructure sectors. Regarding pricing for our products, quarterly cement and ready-mix prices in local-currency terms improved by 4% and 14%, respectively, on a year-over-year basis. Rest of CLH January—December Fourth Quarter 2018 2017 % var 2018 2017 % var Net sales 239 249 (4%) 59 60 (2%) Operating EBITDA 74 87 (15%) 18 19 (7%) Operating EBITDA margin 30.9% 34.8% (3.9pp) 30.1% 31.7% (1.6pp) In millions of US dollars, except percentages. Domestic gray cement Ready-Mix Aggregates January—January—January— Fourth Quarter Fourth Quarter Fourth Quarter December December December Volume (2%) 4% (1%) (15%) (23%) (71%) Price (USD) (2%) (4%) (4%) (6%) (9%) (4%) Price (local currency) 1% 1% (1%) (1%) (4%) 0% Year-over-year percentage variation. In the Rest of CLH, region which includes our operations in Nicaragua, Guatemala and El Salvador, during the fourth quarter our domestic gray cement volume increased by 4%, while our ready-mix and aggregates volumes declined by 15% and 71%, respectively, compared to those of the fourth quarter of 2017. During 2018, our domestic gray cement, ready-mix and aggregates volumes decreased by 2%, 1% and 23%, respectively, compared to those of 2017. In Nicaragua, due to the economic uncertainty, private investment remains paralyzed and commercial banks continue restricting consumer-and-business credit to preserve liquidity. Our cement volumes during the quarter and the full year declined by 10% and 14%, respectively. Our sequential volumes during the quarter increased by 5% due to the acceleration of some government projects. With regards to Guatemala, we estimate that national-cement demand increased in the mid-single digits during 2018. Our cement volumes increased 7% during 2018, outperforming the industry because we are directly reaching more retailers where we have distribution capabilities, while our ready-mix volumes benefited from improved service and client coverage in Guatemala City. 2018 Fourth Quarter Results Page 4

. OPERATING EBITDA, FREE CASH FLOW AND DEBT RELATED INFORMATION Operating EBITDA and free cash flow January—December Fourth Quarter 2018 2017 % var 2018 2017 % var Operating earnings before other expenses, net 168 239 (30%) 39 55 (30%) + Depreciation and operating amortization 75 75 16 17 Operating EBITDA 243 314 (23%) 55 72 (24%) - Net financial expense 59 63 16 17 - Capital expenditures for maintenance 44 50 17 15 - Change in working Capital (5) 18 (15) 26 - Taxes paid 58 100 18 17 - Other cash items (Net) 31 4 (1) 0 - Free cash flow discontinued operations 2 3 0 (1) Free cash flow after maintenance capital exp 54 76 (29%) 19 (1) n/a - Strategic Capital expenditures 1 30 1 (0) Free cash flow 52 45 16% 18 (1) n/a In millions of US dollars, except percentages. Additionally, we received about US$31 million dollars during the third quarter related to the gross proceeds from the sale of our business in Brazil. Free cash flow and the proceeds from the Brazil divestment were mainly used to reduce debt during 2018. Information on Debt Third Fourth Quarter Fourth Quarter Quarter 2018 2017 % var 2018 2018 2017 Total debt 1, 2 842 927 834 Currency denomination Short term 1% 37% 24% U.S. dollar 99% 98% Long term 99% 63% 76% Colombian peso 1% 2% Cash and cash equivalents 37 45 (18%) 24 Interest rate Net debt 805 882 (9%) 810 Fixed 61% 63% Net debt / EBITDA 3.3x 2.8x 3.1x Variable 39% 37% In millions of US dollars, except percentages. 1 Includes capital leases, in accordance with International Financial Reporting Standards (IFRS). 2 Represents the consolidated balances of CLH and subsidiaries. 2018 Fourth Quarter Results Page 5

OPERATING RESULTS Income statement & balance sheet CEMEX Latam Holdings, S.A. and Subsidiaries in thousands of U.S. Dollars, except per share amounts January—December Fourth Quarter INCOME STATEMENT 2018 2017 % var 2018 2017 % var Net sales 1,108,329 1,206,453 (8%) 259,809 278,266 (7%) Cost of sales (649,670) (670,188) 3% (147,481) (151,567) 3% Gross profit 458,659 536,265 (14%) 112,328 126,699 (11%) Operating expenses (290,848) (297,543) 2% (73,733) (71,909) (3%) Operating earnings before other expenses, net 167,811 238,722 (30%) 38,595 54,790 (30%) Other expenses, net 3,757 (34,386) n/a 4,461 (28,339) n/a Operating earnings 171,568 204,336 (16%) 43,056 26,451 63% Financial expenses (59,000) (63,256) 7% (16,062) (16,664) 4% Other income (expenses), net (3,469) (4,649) 25% (14,058) (3,567) (294%) Net income before income taxes 109,099 136,431 (20%) 12,936 6,220 108% Income tax (36,593) (56,894) 36% (3,249) (11,739) 72% Profit of continuing operations 72,506 79,537 (9%) 9,687 (5,519) n/a Discontinued operations (9,556) (33,126) 71% (173) (27,566) 0% Consolidated net income 62,950 46,411 36% 9,514 (33,085) n/a Non-controlling Interest Net Income (194) (316) 39% (8) (28) 73% Controlling Interest Net Income 62,756 46,095 36% 9,506 (33,113) n/a Operating EBITDA 242,507 314,108 (23%) 54,768 72,019 (24%) Earnings of continued operations per share 0.13 0.14 (8%) 0.02 (0.01) n/a Earnings of discontinued operations per share (0.02) (0.06) 71% (0.00) (0.05) 99% as of December 31 BALANCE SHEET 2018 2017 % var Total Assets 3,047,781 3,293,989 (7%) Cash and Temporary Investments 37,126 45,154 (18%) Trade Accounts Receivables 87,465 115,475 (24%) Other Receivables 64,841 58,238 11% Inventories 81,172 82,675 (2%) Assets held for sale 0 0 n/a Other Current Assets 38,567 25,745 50% Current Assets 309,171 327,287 (6%) Fixed Assets 1,162,672 1,250,521 (7%) Other Assets 1,575,938 1,716,181 (8%) Total Liabilities 1,530,180 1,750,944 (13%) Liabilities available for sale 0 0 n/a Other Current Liabilities 294,557 682,837 (57%) Current Liabilities 294,557 682,837 (57%) Long-Term Liabilities 1,218,048 1,052,481 16% Other Liabilities 17,575 15,626 12% Consolidated Stockholders’ Equity 1,517,601 1,543,045 (2%) Non-controlling Interest 5,296 4,910 8% Stockholders’ Equity Attributable to Controlling Interest 1,512,305 1,538,135 (2%) 2018 Fourth Quarter Results Page 6

OPERATING RESULTS Income statement & balance sheet CEMEX Latam Holdings, S.A. and Subsidiaries in millions of Colombian Pesos in nominal terms, except per share amounts January—December Fourth Quarter INCOME STATEMENT 2018 2017 % var 2018 2017 % var Net sales 3,293,999 3,568,554 (8%) 839,374 834,939 1% Cost of sales (1,930,846) (1,982,340) 3% (476,473) (454,778) (5%) Gross profit 1,363,153 1,586,214 (14%) 362,901 380,161 (5%) Operating expenses (864,412) (880,101) 2% (238,209) (215,764) (10%) Operating earnings before other expenses, net 498,741 706,113 (29%) 124,692 164,397 (24%) Other expenses, net 11,166 (101,711) n/a 14,410 (85,031) n/a Operating earnings 509,907 604,402 (16%) 139,102 79,366 75% Financial expenses (175,351) (187,105) 6% (51,890) (49,999) (4%) Other income (expenses), net (10,311) (13,750) 25% (45,418) (10,703) (324%) Net income before income taxes 324,245 403,547 (20%) 41,794 18,664 124% Income tax (108,753) (168,286) 35% (10,498) (35,224) 70% Profit of continuing operations 215,492 235,261 (8%) 31,296 (16,560) n/a Discontinued operations (28,403) (97,983) 71% (558) (82,712) 99% Consolidated net income 187,089 137,278 36% 30,738 (99,272) n/a Non-controlling Interest Net Income (576) (933) 38% (28) (84) 67% Controlling Interest Net Income 186,513 136,345 37% 30,710 (99,356) n/a Operating EBITDA 720,741 929,097 (22%) 176,942 216,093 (18%) Earnings of continued operations per share 392 422 (7%) 57 (30) n/a Earnings of discontinued operations per share (52) (176) (71%) (1) (149) 99% as of December 31 BALANCE SHEET 2018 2017 % var Total Assets 9,904,526 9,829,262 1% Cash and Temporary Investments 120,649 134,738 (10%) Trade Accounts Receivables 284,238 344,578 (18%) Other Receivables 210,717 173,782 21% Inventories 263,788 246,703 7% Assets held for sale 0 0 n/a Other Current Assets 125,338 76,822 63% Current Assets 1,004,730 976,623 3% Fixed Assets 3,778,392 3,731,553 1% Other Assets 5,121,404 5,121,086 0% Total Liabilities 4,972,702 5,224,816 (5%) Liabilities available for sale 0 0 n/a Other Current Liabilities 957,236 2,037,587 (53%) Current Liabilities 957,236 2,037,587 (53%) Long-Term Liabilities 3,958,350 3,140,600 26% Other Liabilities 57,116 46,629 22% Consolidated Stockholders’ Equity 4,931,824 4,604,446 7% Non-controlling Interest 17,209 14,652 17% Stockholders’ Equity Attributable to Controlling Interest 4,914,615 4,589,794 7% 2018 Fourth Quarter Results Page 7

OPERATING RESULTS Operating Summary per Country in thousands of U.S. dollars Operating EBITDA margin as a percentage of net sales January—December Fourth Quarter 2018 2017 % var 2018 2017 % var NET SALES Colombia 524,330 565,649 (7%) 125,081 133,630 (6%) Panama 222,036 266,273 (17%) 52,624 54,481 (3%) Costa Rica 139,087 148,855 (7%) 27,156 35,123 (23%) Rest of CLH 238,750 249,115 (4%) 58,621 59,872 (2%) Others and intercompany eliminations (15,874) (23,439) 32% (3,673) (4,840) 24% TOTAL 1,108,329 1,206,453 (8%) 259,809 278,266 (7%) GROSS PROFIT Colombia 201,235 211,696 (5%) 48,830 52,564 (7%) Panama 85,081 125,276 (32%) 18,237 25,191 (28%) Costa Rica 66,004 70,619 (7%) 14,501 17,638 (18%) Rest of CLH 99,505 109,440 (9%) 25,548 25,196 1% Others and intercompany eliminations 6,834 19,234 (64%) 5,212 6,110 (15%) TOTAL 458,659 536,265 (14%) 112,328 126,699 (11%) OPERATING EARNINGS BEFORE OTHER EXPENSES, NET Colombia 67,736 86,666 (22%) 16,220 23,160 (30%) Panama 48,223 91,768 (47%) 8,516 17,175 (50%) Costa Rica 40,625 47,887 (15%) 7,411 11,806 (37%) Rest of CLH 67,227 80,887 (17%) 15,946 17,526 (9%) Others and intercompany eliminations (56,000) (68,486) 18% (9,498) (14,877) 36% TOTAL 167,811 238,722 (30%) 38,595 54,790 (30%) OPERATING EBITDA Colombia 95,408 112,961 (16%) 22,901 30,148 (24%) Panama 64,316 108,512 (41%) 13,133 20,997 (37%) Costa Rica 45,336 53,146 (15%) 8,504 13,088 (35%) Rest of CLH 73,818 86,743 (15%) 17,633 18,961 (7%) Others and intercompany eliminations (36,371) (47,254) 23% (7,403) (11,175) 34% TOTAL 242,507 314,108 (23%) 54,768 72,019 (24%) OPERATING EBITDA MARGIN Colombia 18.2% 20.0% 18.3% 22.6% Panama 29.0% 40.8% 25.0% 38.5% Costa Rica 32.6% 35.7% 31.3% 37.3% Rest of CLH 30.9% 34.8% 30.1% 31.7% TOTAL 21.9% 26.0% 21.1% 25.9% 2018 Fourth Quarter Results Page 8

OPERATING RESULTS Volume Summary Consolidated volume summary Cement and aggregates in thousands of metric tons Ready mix in thousands of cubic meters January—December Fourth Quarter 2018 2017 % var 2018 2017 % var Total cement volume 1 6,649 7,133 (7%) 1,679 1,679 0% Total domestic gray cement volume 5,855 6,241 (6%) 1,489 1,485 0% Total ready-mix volume 2,604 2,908 (10%) 659 712 (7%) Total aggregates volume 6,265 6,985 (10%) 1,471 1,751 (16%) 1 Consolidated cement volume includes domestic and export volume of gray cement, white cement, special cement, mortar and clinker. Per-country volume summary January—December Fourth Quarter Fourth Quarter 2018 2018 vs. 2017 2018 vs. 2017 vs. Third Quarter 2018 DOMESTIC GRAY CEMENT Colombia (6%) 4% 7% Panama (18%) (8%) (14%) Costa Rica 1% (16%) (14%) Rest of CLH (2%) 4% 6% READY-MIX Colombia (11%) (8%) 2% Panama (15%) (4%) (17%) Costa Rica 6% (4%) (6%) Rest of CLH (1%) (15%) 32% AGGREGATES Colombia (14%) (15%) (0%) Panama (8%) (10%) (17%) Costa Rica 9% 9% (12%) Rest of CLH (23%) (71%) 11% 2018 Fourth Quarter Results Page 9

OPERATING RESULTS Price Summary Variation in U.S. dollars January—December Fourth Quarter Fourth Quarter 2018 2018 vs. 2017 2018 vs. 2017 vs. Third Quarter 2018 DOMESTIC GRAY CEMENT Colombia 1% (5%) (10%) Panama (1%) (2%) (0%) Costa Rica 2% (2%) (4%) Rest of CLH (2%) (4%) (1%) READY-MIX Colombia 0% (6%) (7%) Panama (7%) (2%) 2% Costa Rica 3% 7% (1%) Rest of CLH (4%) (6%) (4%) AGGREGATES Colombia (1%) (4%) (9%) Panama 1% 8% (4%) Costa Rica (12%) (9%) (0%) Rest of CLH (9%) (4%) 3% For Rest of CLH, volume-weighted average prices. Variation in local currency January—December Fourth Quarter Fourth Quarter 2018 2018 vs. 2017 2018 vs. 2017 vs. Third Quarter 2018 DOMESTIC GRAY CEMENT Colombia 2% 2% (1%) Panama (1%) (2%) (0%) Costa Rica 3% 4% 1% Rest of CLH 1% 1% 1% READY-MIX Colombia 0% 1% 1% Panama (7%) (2%) 2% Costa Rica 5% 14% 5% Rest of CLH (1%) (1%) (2%) AGGREGATES Colombia (0%) 4% (0%) Panama 1% 8% (4%) Costa Rica (11%) (3%) 5% Rest of CLH (4%) 0% 4% For Rest of CLH, volume-weighted average prices. 2018 Fourth Quarter Results Page 10

DEFINITIONS OF TERMS AND DISCLOSURES Methodology for translation and presentation of results INCOME STATEMENT Jan—Dec Fourth Quarter Under IFRS, CLH reports its consolidated results in its functional currency, which is the US Dollar, by translating the financial statements (Millions of dollars) 2018 2017 2018 2017 of foreign subsidiaries using the corresponding exchange rate at the Sales 26.6 36.4 (0.2) 10.3 reporting date for the balance sheet and the corresponding exchange Cost of sales and operating (27.9) (44.3) 0.2 (11.5) rates at the end of each month for the income statement. Other expenses, net (0.1) (45.0) — (45.0) For the reader’s convenience, Colombian peso amounts for the Interest expense, net and others (0.3) 0.1 (0.0) (0.0) consolidated entity are calculated by converting the US dollar amounts Income (loss) before income tax (1.6) (52.7) (0.0) (46.2) using the closing COP/US$ exchange rate at the reporting date for Income tax 0.3 19.6 —18.6 balance sheet purposes, and the average COP/US$ exchange rate for the Loss of discontinued operations (1.3) (33.1) (0.0) (27.6) corresponding period for income statement purposes. The exchange rates are provided below. Result in sale, withholding and Fx (8.2)— (0.1)— reclassification Per-country/region selected financial information of the income Net loss of discontinued operations (9.6) (33.1) (0.2) (27.6) statement is presented before corporate charges and royalties which are included under “other and intercompany eliminations.” Discontinued operations and assets held for sale Consolidated financial information On September 27, after receiving the corresponding authorizations by When reference is made to consolidated financial information means local authorities, CEMEX Latam concluded the disposal of its the financial information of CLH together with its consolidated construction materials operations in Brazil to Votorantim Cimentos subsidiaries. N/NE S.A., comprised of a fluvial cement distribution terminal located in Manaus, Amazonas state and its operating license. The selling price was Presentation of financial and operating information approximately US$31 million including working capital adjustments. Individual information is provided for Colombia, Panama and Costa Rica. CEMEX Latam’s operations in Brazil for the period from January 1 to December 31, 2018 and the year 2017 were reclassified and reported Countries in Rest of CLH include Nicaragua, Guatemala and El Salvador. net of tax in the single line item “Discontinued Operations”. The following table presents condensed combined information of the income statements of CEMEX Latam discontinued operations in its operating segment in Brazil for the period from January 1 to December 31, 2018 and the year 2017: Exchange rates January—December January—December Fourth Quarter 2018 EoP 2017 EoP 2018 average 2017 average 2018 average 2017 average Colombian peso 3,249.75 2,984.00 2,972.04 2,957.89 3,230.74 3,000.51 Panama balboa 1.00 1.00 1.00 1.00 1.00 1.00 Costa Rica colon 611.75 572.56 581.56 572.30 608.53 571.08 Euro 0.87 1.05 0.85 1.10 0.88 1.07 Amounts provided in units of local currency per US dollar. 2018 Fourth Quarter Results Page 11

DEFINITIONS OF TERMS AND DISCLOSURES Definition of terms Free cash flow equals operating EBITDA minus net interest expense, maintenance and strategic capital expenditures, change in working capital, taxes paid, and other cash items (net other expenses less proceeds from the disposal of obsolete and/or substantially depleted operating fixed assets that are no longer in operation). Maintenance capital expenditures investments incurred for the purpose of ensuring CLH’s operational continuity. These include capital expenditures on projects required to replace obsolete assets or maintain current operational levels, and mandatory capital expenditures, which are projects required to comply with governmental regulations or internal policies. Net debt equals total debt minus cash and cash equivalents. Operating EBITDA equals operating earnings before other expenses, net, plus depreciation and operating amortization. pp equals percentage points. EoP equals End of Period. Strategic capital expenditures investments incurred with the purpose of increasing CLH’s profitability. These include capital expenditures on projects designed to increase profitability by expanding capacity, and margin improvement capital expenditures, which are projects designed to increase profitability by reducing costs. Working capital equals operating accounts receivable (including other current assets received as payment in kind) plus historical inventories minus operating payables. 2018 Fourth Quarter Results Page 12