Results Conference Call 4Q25 Disclaimer and Forward-Looking Statement This presentation may contain forward-looking statements within the meaning of federal securities law that are subject to risks and uncertainties. These statements are only predictions based upon our current expectations and projections about possible or assumed future results of our business, financial condition, results of operations, liquidity, plans and objectives. In some cases, you can identify forward-looking statements by terminol ...

Core Insights - United States Lime & Minerals, Inc. (USLM) has demonstrated significant revenue growth, with revenues increasing at a CAGR of 14.6% from 2020 to 2024 [1] Group 1: Company Overview - USLM is a company that produces lime and limestone [1] - The company has shown consistent improvements in revenue over the past five years [1] Group 2: Analyst Approach - The analyst emphasizes a unique valuation approach that focuses on economic realities rather than flawed assumptions common in popular valuation methods [1] - The valuation methodology incorporates assessments of economic viability, reproduction or liquidation costs, earnings power value, and competitive advantages [1] - The analyst plans to conduct and publish research on public equities across various industries, leveraging experience in construction and finance [1]

Core Insights - Loma Negra reported a net loss of Ps. 8.6 billion in 3Q25, a significant decline from a net profit of Ps. 27.9 billion in the same period last year, primarily due to lower operational performance and a decrease in financial results [35][36] - The company experienced a 12.1% year-over-year decline in net revenue, totaling Ps. 209.3 billion, largely attributed to a 13.2% decrease in the Cement segment [17][8] - Adjusted EBITDA decreased by 23.7% year-over-year to Ps. 43.5 billion, with a margin contraction of 315 basis points to 20.8% [27][28] Financial Performance - Net revenue for 3Q25 was Ps. 209,272 million, down from Ps. 238,067 million in 3Q24, reflecting a decline in the Cement segment [17][8] - Gross profit fell by 32.5% to Ps. 36,261 million, with a gross profit margin of 17.3%, down from 22.6% in the previous year [24][6] - The company reported a net loss attributable to owners of Ps. 8.5 billion, with a loss per share of Ps. 14.5122 compared to a gain of Ps. 47.2609 in 3Q24 [36][9] Operational Highlights - Cement, masonry, and lime sales volumes decreased by 5.4% year-over-year to 1.37 million tons, despite a sequential increase of 12.8% [11][12] - The concrete segment saw a volume increase of 37.8% year-over-year, driven by private developments and public infrastructure projects [13] - The aggregates segment also experienced a 26.3% year-over-year volume increase, supported by road construction and railroad projects [20] Debt and Capitalization - Total debt as of September 30, 2025, was Ps. 396.7 billion, with a net debt to LTM adjusted EBITDA ratio of 1.49x, up from 0.89x at the end of 2024 [37][38] - The company issued a Class 5 corporate bond for US$113 million in July 2025, aimed at refinancing upcoming maturities [39][38] - Cash and cash equivalents increased to Ps. 115.2 billion compared to Ps. 18.1 billion in the previous year [37] Cash Flow Analysis - Net cash generated from operating activities was Ps. 31.9 billion, down from Ps. 83.8 billion in 3Q24, reflecting higher working capital needs [40][41] - Cash used in investing activities totaled Ps. 61.9 billion, primarily due to short-term allocations from the bond issuance [42] - Financing activities generated Ps. 74.3 billion, mainly from the bond issuance, net of repayments [42]

Financial Data and Key Metrics Changes - The company reported an adjusted EBITDA of $40 million, reflecting a 3.2% decrease in pesos, translating to $36 per ton [9][20] - Net profit attributable to owners of the company totaled ARS 21.5 billion, down from ARS 79 billion in the first quarter of 2024, primarily due to lower financial results [23] - The net debt increased sequentially to ARS 187 million, with a debt to EBITDA ratio of 0.96x, slightly up from 0.89x at the end of 2024 [24][25] Business Line Data and Key Metrics Changes - The Cement segment experienced a 10.9% revenue drop despite an 8.9% year-over-year increase in volumes, attributed to a softer pricing environment [14] - Concrete revenues declined by 1.4% despite a 22.8% increase in volumes, impacted by competitive pricing pressures [14] - The Aggregates segment saw a 14.2% revenue decline despite a 29% increase in sales volumes, affected by pricing dynamics and a lower average price due to the sales mix [15][22] Market Data and Key Metrics Changes - Cement consumption showed signs of improvement, with April figures indicating a 28% year-over-year increase and a 14% sequential increase [12][8] - The Argentine economy is projected to grow approximately 5% in 2025, following a 1.7% contraction in 2024, which is expected to benefit the construction sector [11][7] Company Strategy and Development Direction - The company remains focused on driving efficiency and controlling costs to protect profitability while delivering quality products and services [29] - The management expressed optimism about the recovery of the industry, indicating that the stabilization plans and easing of capital controls could unlock investment projects [28] Management Comments on Operating Environment and Future Outlook - Management noted that the industry is in the early stages of recovery, with expectations for a more sustained recovery in the coming quarters [27][28] - The company is optimistic about the potential for increased cement demand driven by infrastructure projects and a recovering housing market [48] Other Important Information - The company invested ARS 11.1 billion in capital expenditures during the quarter, primarily for the final stage of the 25-kilogram bag projects [24] - SG&A expenses decreased by 7.8%, mainly due to lower marketing and IT expenditures [19] Q&A Session Summary Question: Competitive dynamics and market share - Management indicated that market share dynamics are consistent with their strategy, and climate issues impacted different regions [32] Question: Pricing power and cement volume expectations - Management expects pricing to remain around $115 per ton and maintains expectations for double-digit growth in cement volumes for 2025 [40][42] Question: Volume outlook and project demand - Management noted positive forecasts for cement demand, with many tenders moving forward for projects expected to start in the second semester [48]