CEMEX’S Net Income Grows 41%

• Net income was U.S.$289 million in the second quarter of 2017, an
  increase of 41% compared to the same period last year. For the first
  half of the year it reached U.S.$626 million, the highest net income
  for this period since 2008.
• Total debt plus perpetual notes decreased by U.S.$676 million during
  the quarter.

MONTERREY, Mexico–(BUSINESS WIRE)–$CEMEX #CEMEX–CEMEX, S.A.B. de C.V. ("CEMEX") (NYSE:CX), announced today that
consolidated net sales reached U.S.$3.6 billion during the second
quarter of 2017, an increase of 2% on a like-to-like basis for the
ongoing operations and adjusting for currency fluctuations, versus the
comparable period in 2016. Operating EBITDA decreased by 8% during the
quarter to U.S.$696 million versus the same period in 2016. Operating
EBITDA adjusted for working days, reflecting the effect of Holy Week and
Ramadan, declined 5% during the quarter on a year-over-year basis.

CEMEX’s Consolidated Second-Quarter 2017 Financial
and Operational Highlights

• The increase in consolidated net sales on a like-to-like basis was due
  to higher prices of our products in local currency terms in Mexico and
  the U.S., as well as higher volumes in our Europe region.
• Operating earnings before other expenses, net, in the second quarter
  decreased by 11%, to U.S.$478 million.
• Controlling interest net income during the quarter improved to
  U.S.$289 million, from an income of U.S.$205 million in the same
  period last year.
• Operating EBITDA decreased during the quarter by 8% on a like-to-like
  basis, to U.S.$696 million.
• Operating EBITDA margin decreased by 1.6 percentage points on a
  year-over-year basis to 19.5%, reflecting in part an increase in raw
  materials in some of our ready-mix operations, higher energy and
  freight costs, as well as an unfavorable regional mix effect.
• Free cash flow after maintenance capital expenditures for the quarter
  was U.S.$353 million, compared with U.S.$478 million in the same
  quarter of 2016. The conversion rate of EBITDA into free cash flow
  after maintenance capex during the quarter reached 51 percent.

Fernando A. Gonzalez, Chief Executive Officer, said, “Our second quarter
operating and financial performance was essentially in line with our
expectations as of the first quarter: good results in Mexico, the U.S.
and Europe; increasing challenges in Colombia and Egypt, and to a much
lesser extent the Philippines. In addition, we continue to further
strengthen our balance sheet where the financial markets have allowed us
to execute on our targets a bit faster than we anticipated earlier in
the year.

“Regarding our debt, we are pleased to see our discipline and
consistency in reducing our leverage continues to translate into an
improvement in our credit ratings. During the quarter, S&P placed our
BB-minus credit rating on positive credit watch.

“In line with our targets, we applied the proceeds from our free cash
flow generation and asset sales mainly for debt reduction. Our total
debt declined by U.S.$676 million during the quarter and by U.S.$3.4
billion since the end of 2015.

“As we announced last week, we entered into a new facilities agreement
for U.S.$4.05 billion under enhanced conditions reflecting our improved
credit profile, extending the average life and reducing the cost of
debt.”

Consolidated Corporate Results

During the second quarter of 2017, controlling interest net income was
U.S.$289 million, an improvement over a gain of U.S.$205 million in the
same period last year.

Total debt plus perpetual notes decreased by U.S.$676 million during the
second quarter and by U.S.$1.1 billion during the first six months of
the year.

Geographical Markets Second-Quarter 2017 Highlights

Net sales in our operations in Mexico increased 5% on a
like-to-like basis in the second quarter of 2017 to U.S.$810 million,
compared with U.S.$796 million in the second quarter of 2016. Operating
EBITDA increased by 3% on a like-to-like basis versus the same period of
last year, to U.S.$302 million.

CEMEX’s operations in the United States reported net sales of
U.S.$916 million in the second quarter of 2017, an increase of 4% on a
like-to-like basis from the same period in 2016. Operating EBITDA
reached U.S.$170 million in the quarter, an increase of 19% on a
like-to-like basis versus a gain of U.S.$156 million in the same quarter
of 2016.

CEMEX’s operations in South, Central America and the Caribbean
reported net sales of U.S.$479 million during the second quarter of
2017, representing a decrease of 9% on a like-to-like basis over the
same period of 2016. Operating EBITDA decreased 33% on a like-to-like
basis to U.S.$120 million in the second quarter of 2017, from U.S.$153
million in the second quarter of 2016.

In Europe, net sales for the second quarter of 2017 increased 2%
on a like-to-like and on a year-over-year basis to U.S.$934 million.
Operating EBITDA was U.S.$109 million for the quarter, 11% lower on a
like-to-like basis than the same period last year.

Operations in Africa, Middle East and Asia reported a 5% decrease
on a like-to-like basis in net sales for the second quarter of 2017, to
U.S.$327 million, versus the second quarter of 2016, and operating
EBITDA for the quarter was U.S.$49 million, down 38% on a like-to-like
basis from the same period last year.

CEMEX is a global building materials company that provides high-quality
products and reliable services to customers and communities in more than
50 countries. CEMEX has a rich history of improving the well-being of
those it serves through innovative building solutions, efficiency
advancements, and efforts to promote a sustainable future.

This press release contains forward-looking statements and
information that are necessarily subject to risks, uncertainties and
assumptions. Many factors could cause the actual results, performance or
achievements of CEMEX to be materially different from those expressed or
implied in this release, including, among others, changes in general
economic, political, governmental and business conditions globally and
in the countries in which CEMEX does business, changes in interest
rates, changes in inflation rates, changes in exchange rates, the level
of construction generally, changes in cement demand and prices, changes
in raw material and energy prices, changes in business strategy and
various other factors. Should one or more of these risks or
uncertainties materialize, or should underlying assumptions prove
incorrect, actual results may vary materially from those described
herein. CEMEX assumes no obligation to update or correct the information
contained in this press release.

Operating EBITDA is defined as operating income plus depreciation and
operating amortization. Free Cash Flow is defined as Operating EBITDA
minus net interest expense, maintenance and expansion 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). Net debt is defined as total debt minus the fair value of
cross-currency swaps associated with debt minus cash and cash
equivalents. The Consolidated Funded Debt to Operating EBITDA ratio is
calculated by dividing Consolidated Funded Debt at the end of the
quarter by Operating EBITDA for the last twelve months. All of the above
items are presented under the guidance of International Financial
Reporting Standards as issued by the International Accounting Standards
Board. Operating EBITDA and Free Cash Flow (as defined above) are
presented herein because CEMEX believes that they are widely accepted as
financial indicators of CEMEX's ability to internally fund capital
expenditures and service or incur debt. Operating EBITDA and Free Cash
Flow should not be considered as indicators of CEMEX's financial
performance, as alternatives to cash flow, as measures of liquidity or
as being comparable to other similarly titled measures of other
companies.

Contacts

CEMEX, S.A.B. de C.V.
Media Relations:
Jorge Pérez, +52(81)
8888-4334
[email protected]
or
Investor
Relations:
Eduardo Rendón, +52(81) 8888-4256
[email protected]
or
Analyst
Relations:
Lucy Rodriguez, +1 212-317-6007
[email protected]