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Income Taxes (Tables)

12 Months Ended

Dec. 31, 2024

The amounts of income tax expense in the statements of income for 2024, 2023 and 2022 are summarized as follows:


		2024			2023		2022
Current income tax expense 1	$		343			1,101		129
Deferred income tax (benefit) expense			(276	)		103		39

	$		67			1,204		168

1	In 2024 includes minimum taxes which were not material (note 29.10).

Summary of Temporary Differences in Deferred Income Tax Assets and Liabilities

As of December 31, 2024 and 2023, the main temporary differences that generated the consolidated deferred income tax assets and liabilities are presented below:


		2024			2023
Deferred tax assets:
Tax loss carryforwards and other tax credits	$		446			445
Accounts payable and accrued expenses			1,084			883
Intangible assets, net and other			130			203

Total deferred tax assets, gross			1,660			1,531
Presentation of net position by same legal entity			(987	)		(1,168	)

Total deferred tax asset, net in the statement of financial position			673			363

Deferred tax liabilities:
Property, machinery and equipment and right-of-use asset, net			(1,298	)		(1,470	)
Investments and other assets			(237	)		(141	)

Total deferred tax liabilities, gross			(1,535	)		(1,611	)
Presentation of net position by same legal entity			987			1,168

Total deferred tax liabilities, net in the statement of financial position			(548	)		(443	)

Net deferred tax assets (liabilities)	$		125			(80	)

Out of which:
Net deferred tax assets in Mexican entities	$		393			67
Net deferred tax liabilities in foreign entities			(268	)		(147	)

Net deferred tax assets (liabilities)	$		125			(80	)

Summary of the Balances of the Deferred tax Assets and Liabilities in Statement of Financial Position

As of December 31, 2024 and 2023, balances of the deferred tax assets and liabilities included in the statement of financial position are located in the following entities:


		2024							2023


		Assets		Liabilities		Net			Assets		Liabilities		Net

Mexican entities	$		518		(125)		393	$		185		(118)		67
Foreign entities			155		(423)		(268)			178		(325)		(147)

	$		673		(548)		125	$		363		(443)		(80)

Summary of Breakdown of Changes in Consolidated Deferred Income Taxes

The breakdown of changes in consolidated deferred income taxes during 2024, 2023 and 2022 was as follows:


		2024			2023			2022

Deferred income tax (benefit) expense in the statement of income	$		(276	)		103			39
Deferred income tax expense (benefit) in stockholders’ equity			57			(6	)		14
Reclassifications 1			14			—			7

Change in deferred income tax during the period	$		(205	)		97			60

1	In 2024 and 2022, refers to the effects of the reclassification of balances to assets held for sale and related liabilities (note 4.2).

Summary of Current and Deferred Income Tax Relative to Items of Other Comprehensive Income Loss

Current and/or deferred income tax relative to items of other comprehensive income during 2024, 2023 and 2022 were as follows:


		2024		2023			2022
Expense related to foreign exchange fluctuations from intercompany balances (note 21.2)	$		—		5			—
Expense (benefit) associated to actuarial results (note 21.2)			11		(5	)		32
Expense (benefit) related to derivative financial instruments (note 17.4)			4		(41	)		(30	)
Expense from foreign currency translation and other effects			33		35			12

	$		48		(6	)		14

Schedule of Consolidated Tax Loss and Tax Credits Carry Forwards Expire

As of December 31, 2024, consolidated tax loss and tax credits carryforwards expire as follows:


		Amount of carryforwards		Amount of unrecognized carryforwards		Amount of recognized carryforwards

2025	$		26		18		8
2026			44		24		20
2027			50		18		32
2028			45		20		25
2029 and thereafter			6,348		4,668		1,680

	$		6,513		4,748		1,765

Schedule of Effective Tax Rate Table

For the years ended December 31, 2024, 2023 and 2022, the effective consolidated income tax rates were as follows:


		2024			2023			2022

Earnings before income tax	$		980			1,323			570
Income tax expense			(67	)		(1,204	)		(168	)

Effective consolidated income tax expense rate 1, 2			6.8	%		91.0	%		29.5%

1	The average effective tax rate equals the net amount of income tax benefit or expense divided by income or loss before income taxes, as these line items are reported in the statements of income.

2	Note 29.10 includes the statutory income tax rates of the main countries in which Cemex operates.

Schedule of Reconciliation Between Actual Income Tax Expense and Amount Computed by Applying Statutory Tax Rate

Differences between the financial reporting and the corresponding tax basis of assets and liabilities and the different income tax rates and laws applicable to Cemex, among other factors, give rise to permanent differences between the statutory tax rate applicable in Mexico, and the effective tax rate presented in the consolidated statements of income, which in 2024, 2023 and 2022 were as follows:


	2024						2023						2022

	%			$			%			$			%			$

Mexican statutory tax rate		30.0	%		294			30.0	%		397			30.0	%		171
Income tax penalties in Spain (note 20.4)		—			—			46.9	%		620			—			—
Difference between accounting and tax expenses, net 1		(9.2	)%		(90	)		0.4	%		6			48.4	%		276
Non-taxable sale of equity securities and fixed assets 2		(10.6	)%		(104	)		(1.3	)%		(17	)		4.6	%		26
Difference between book and tax inflation		6.1	%		60			9.1	%		120			38.1	%		217
Differences in the income tax rates in the countries where Cemex operates 3		2.5	%		24			7.7	%		103			(8.4	)%		(48	)
Changes in deferred tax assets 4		(10.1	)%		(99	)		(4.3	)%		(57	)		(80.7	)%		(460	)
Changes in provisions for uncertain tax positions		1.1	%		11			0.1	%		1			(6.8	)%		(39	)
Others		(3.0	)%		(29	)		2.4	%		31			4.3	%		25

Effective consolidated income tax expense rate		6.8	%		67			91.0	%		1,204			29.5	%		168

1	In 2022, includes $365 related to the effects of impairment charges during the period which are basically non-deductible for tax purposes (note 7).

2	In 2024, includes $72 related to non-taxable income from the sale of shares of subsidiaries and associates during the period.

3	Refers to the effects of the differences between the statutory income tax rate in Mexico of 30% and the applicable income tax rates of each country where Cemex operates.

4	Refers to the effects in the effective income tax rate associated with changes during the period in the amount of deferred income tax assets related to Cemex’s tax loss carryforwards.

Schedule of Variations Between the Line Item Changes in Deferred Tax Assets Against the Changes in Deferred Tax Assets in the Balance Sheet

The following table compares the line item “Changes in deferred tax assets” as presented in the table above against the changes in deferred tax assets in the statement of financial position for the years ended December 31, 2024 and 2023:


		2024						2023

		Changes in the statement of financial position			Amounts in reconciliation			Changes in the statement of financial position			Amounts in reconciliation

Tax loss carryforwards generated and not recognized during the year	$		—			89			—			45
Derecognition related to tax loss carryforwards recognized in prior years			(100	)		—			(125	)		—
Recognition related to unrecognized tax loss carryforwards			105			(186	)		12			(105	)
Foreign currency translation and other effects			(4	)		(2	)		(3	)		3

Changes in deferred tax assets	$		1			(99	)		(116)			(57)

Schedule of Unrecognized Tax Benefits

A summary of the beginning and ending balances of unrecognized tax benefits for the years ended December 31, 2024, 2023 and 2022, excluding interest and penalties, is as follows:


		2024			2023			2022

Balance of tax positions at beginning of the period	$		78			41			48
Additions for tax positions of prior periods			5			34			5
Additions for tax positions of current period			14			3			5
Reductions for tax positions related to prior periods and other items			(2	)		(1	)		(11)
Settlements and reclassifications			(31	)		—			(4)
Expiration of the statute of limitations			(8	)		(2	)		(2)
Foreign currency translation effects			(5	)		3			—

Balance of tax positions at end of the period	$		51			78			41