S&P Global Ratings upgraded Cemex S.A.B. de C.V.'s corporate outlook to positive from stable on Thursday while affirming its issuer credit rating at BBB- and senior unsecured debt rating at BBB-. The outlook revision reflects the Mexico-based cement producer's improved financial profile, including lower leverage and robust cash generation.
The company reported an S&P-adjusted debt-to-EBITDA ratio of 2.5 times in the first half of 2026, alongside funds from operations to debt near 30% and free operating cash flow to debt above 15%. EBITDA grew nearly 27% year-over-year to $1.8 billion during the period, driven by operational strength.
S&P projects EBITDA to rise to almost $3.6 billion in 2026 and $3.7 billion in 2027, supported by higher volumes and pricing. Free operating cash flow is expected to reach approximately $1.4 billion in 2026, up from $649 million in 2025, as interest payments decline to roughly $530 million and capital expenditures total about $1.1 billion.
Cemex has reinforced its balance sheet through recent capital actions. In June, it issued $1.5 billion in senior unsecured notes due 2036 and secured a $3.0 billion revolving credit facility. The company repaid nearly $1.8 billion in bank loans and redeemed $1.0 billion of subordinated perpetual notes. It also raised its 2026 ordinary dividend to $180 million, a 40% increase from 2025, and announced a $500 million share buyback program over the next three years.
The company plans to divest part of its Colombia operations for $485 million by the end of 2026 as part of its liability management strategy. S&P noted that an upgrade could occur within 12–24 months if Cemex maintains its debt-to-EBITDA below 3x and funds from operations-to-debt above 30% through industry cycles. The outlook could revert to stable if leverage rises to 3x or higher or if funds from operations-to-debt falls below 30% on a sustained basis.
