In 2014, Colombia-based Argos recorded historic results in terms of both income and EBITDA, which rose above $2.9 million (17 percent) and $534 million (8 percent), respectively. The company reported unprecedented consolidated figures in terms of cement and concrete sales volumes, dispatching 12.5 million tons of cement and 11 million cubic meters of concrete, and it increased its net profits by about 59 percent.
After acquiring operations in Florida for $720 million, the company’s installed cement production capacity increased by 107 percent, and concrete production by 34 percent. As a result, Argos became the second largest concrete producer in the U.S. and the second largest cement producer in the Southeast. The organization has consolidated its presence in nine strategic U.S. states, which consume 34 million tons of cement per year and, according to the Portland Cement Association (PCA), are forecasted to have a cement consumption growth of about 12 percent on a yearly basis.
Based on recent statistics, analysts are predicting a decade of vibrant growth for the North American economy, supported by the reindustrialization of the country, its self-sufficiency, lower energy prices, lower unemployment rates and an increase in consumer confidence.
“We see the next decade as the period in which Argos will see even greater rewards from the largest investments ever made by a Colombian company in the United States, which, jointly, reached a value of more than $2.2 billion. These investments were consistent with our coherent strategy that was carried out with a great degree of discipline and at an opportune moment by taking advantage of a favorable exchange rate,” explained Jorge Mario Velásquez, Argos’ CEO.
In addition, Argos also consolidated its presence in Central America and the Caribbean, after acquiring new assets in French Guiana for an amount of 50 million euros and successfully integrating its operations in Honduras. As this is a region that receives a lot of remittances with currencies that are mostly tied to the dollar and the drop in oil prices further favors its economies (since they are net importers), the countries in the region will benefit by the upward trend of the North American economy, noted Argos.