Simec's net profit dropped sharply

Mexican long-roll manufacturer Simec reported a net profit of 459 million Mexican pesos (US$24.7 million) for the third quarter of 2025, compared with a net profit of 3.152 billion Mexican pesos generated in the third quarter of 2024.

In comparison, net sales decreased by 12 percent to 7,485 billion Mexican pesos, production costs decreased by 10 percent to 5,726 billion Mexican pesos, gross profit decreased by 18 percent to 1,759 billion Mexican pesos, and operating profit decreased by 24 percent to 1,159 billion Mexican pesos. Net sales in Mexico's domestic market decreased by 11 percent to 4,307 billion Mexican pesos, while sales in other countries decreased by 14 percent to 3,178 billion Mexican pesos. In physical terms, sales decreased by 4 percent to 490,000 tons. According to the company, in addition to the decrease in operating performance, the net loss in the third quarter of 2025 reflects the impact of exchange rate fluctuations: in the third quarter of 2024, it was positive and amounted to 1.769 billion Mexican pesos, while in the third quarter of 2025 it was negative and amounted to 718 million Mexican pesos. Simec manufactures long products in Mexico, the USA and Brazil. USD = 18.57 Mexican pesos (November 5)