Cementos Pacasmayo S.A.A. Q3 FY2025 earnings call

• Sales volume saw a 9% increase compared to the same period last year, driven by infrastructure projects and Self-construction segment. - Gross profit increased 14.4%, leading to net income increase of 14.4% this quarter, reaching PEN 71.5 million, and accumulated growth of 15.6% for the first [indiscernible] months. - Advancing innovative building solutions like an industrial langard integrating prefabrication and B-methodology. - Working with Newmont and Bechtel on Yanacocha water treatment plant for environmental sustainability. - Ranked among the top 10 companies in the American corporate reputation ranking for the third consecutive year, demonstrating commitment to responsible management.

Cement segment: Sales increased 10.4% this quarter compared to the same period last year, with gross margin increasing 1.6 percentage points. For the first 9 months of the year, sales increased 7% and gross margin increased 2.5 percentage points. Concrete, pavement and mortar segment: Sales increased 26.3% this quarter compared to the same period in 2024, with gross margin increasing 2.6 percentage points. For the first 9 months of the year, sales increased 19.5%, but gross margin decreased 2.3 percentage points. Precast materials segment: Sales increased 23% this quarter compared to the third quarter of last year and 11.6% during the first 9 months compared to the same period of 2024. Gross margin this quarter and during the first 9 months of the year was higher by 5.6 and 1.3 percentage points, respectively, compared to the same period of 2024.

• Volumes: Remaining quarter of this year should see same level of activity, no significant impact of elections expected in short term, optimistic for growth in 2026. - Capital allocation: Sustaining CapEx remains around PEN 100 million, likely to stay steady. - Dividends: Expect similar dividend levels as announced in October for 2026, keeping company financially solid.

• Electoral cycles may lead to pause in private investment and shift in public spending priorities, but company believes private sector will continue operating, market share competition remains.

Q: Regarding volumes, what to expect in terms of cement volumes performance in the country and the company, and after elections? Also, regarding capital allocation and dividends.

A: In terms of volumes, north of Peru growing above national average, remaining quarter activity steady, no major election impact seen; CapEx sustaining around PEN 100 million likely to stay steady; dividends expected to be similar to previous years.

Q: Considering electoral cycles leading to pause in private investment, how adjusting commercial and operational strategy to sustain volumes and margins?

A: Private sector will keep going, companies can't stop, fight for market share daily, increased marketing expenses to defend position regardless of election.