Jaime Muguiro Begins Tenure as CEO of Cemex

Rhea-AI Summary

Cemex announced that Jaime Muguiro has officially begun his role as CEO, following his appointment by the Board of Directors on February 10. Muguiro succeeds Fernando A. Gonzalez, who retired after his tenure at the company.

Muguiro, who joined Cemex in 1996, brings extensive experience from various senior leadership positions across regions, most recently serving as President of Cemex USA. The new CEO emphasized his commitment to maximizing shareholder returns through operational efficiency and customer partnership.

The company's strategy focuses on growth opportunities in the United States through small to medium-sized bolt-on acquisitions. Having achieved its deleveraging objectives and consolidated operations, Cemex is transitioning from financial stabilization to growth phase while maintaining focus on sustainable value creation.

Positive

• Company has achieved its deleveraging objectives
• Strategic focus on US market expansion through bolt-on acquisitions
• Successfully completed operational consolidation

Negative

• None.

Insights

Corporate Strategy Expert

Cemex's leadership transition to Jaime Muguiro marks a significant strategic inflection point for the company. The announcement signals a clear shift from financial stabilization to a growth-oriented strategy, suggesting the defensive phase of Cemex's business cycle has concluded successfully with the achievement of their deleveraging objectives.

Muguiro's appointment represents a calculated decision leveraging his 29-year company tenure and specific experience heading Cemex's U.S. operations—precisely where the company intends to focus its expansion efforts. This alignment between executive expertise and strategic direction is particularly noteworthy.

The commitment to bolt-on acquisitions in the U.S. market indicates a disciplined, incremental growth approach rather than transformative high-risk maneuvers. This strategy typically delivers more predictable returns while minimizing integration challenges that often plague larger mergers.

What's most telling is the language around having "substantially consolidated operations"—a signal that the internal restructuring phase is complete and capital can now be deployed toward external growth opportunities. The timing of this transition suggests confidence in both Cemex's financial position and the U.S. construction market's stability.

However, execution will be critical. The "laser-like focus on operational efficiency" mentioned will be essential to ensure that growth initiatives don't compromise margin performance. The success of this strategic pivot will ultimately depend on disciplined acquisition choices and effective post-merger integration capabilities.

Financial Analyst

Cemex's announcement reveals several financially significant elements that deserve attention. First, the statement that deleveraging objectives have been achieved represents a crucial milestone. While specific debt metrics aren't provided, this suggests the company has reached its target capital structure, potentially freeing up significant financial flexibility.

The strategic pivot toward growth through U.S.-focused acquisitions indicates a calculated capital allocation decision. The emphasis on "small to medium size bolt-on acquisitions" suggests a preference for digestible, complementary assets that can be integrated with minimal disruption—typically a lower-risk approach to inorganic growth that preserves balance sheet health.

Muguiro's explicit prioritization of "highest possible returns to shareholders" signals potential changes in capital return policies. This could manifest through enhanced dividend payouts, share repurchase programs, or increased capital expenditures with attractive ROI profiles.

The focus on operational efficiency alongside growth ambitions indicates a balanced approach that aims to prevent margin dilution during expansion. This dual focus is critical given the historically cyclical and margin-sensitive nature of the construction materials sector.

While the leadership change itself is orderly and well-telegraphed (announced nearly two months ago), the articulation of having completed the financial stabilization phase represents a meaningful marker in Cemex's financial evolution. The company appears positioned to leverage its improved financial health toward measured growth, though execution of this strategy will determine whether shareholder value is ultimately enhanced.

• Jaime Muguiro began his career at Cemex in 1996 and has held senior leadership positions at the company in several regions, most recently in the United States.
• Cemex’s growth strategy continues to be focused on growth in the United States through small to medium size bolt-on acquisitions.
• Cemex is committed to maximizing shareholder return and providing value-added solutions for its customer’s building needs.

MONTERREY, Mexico--(BUSINESS WIRE)-- Today, Jaime Muguiro begins his tenure as CEO of Cemex after being appointed to the position by the company’s Board of Directors on February 10. This appointment is part of a planned leadership transition following former CEO Fernando A. Gonzalez’s decision to retire after a successful career at Cemex.

Jaime Muguiro, CEO of Cemex.

"I am honored to take on this role and deeply grateful to our Chairman Rogelio Zambrano and the Board of Directors for their trust, and to Fernando González for his outstanding leadership,” said Jaime Muguiro. “As Cemex's new CEO, I am committed to providing the highest possible returns to our shareholders, which we will achieve by being the best partner to our customers and having a laser-like focus on operational efficiency.”

“This is a pivotal moment in our company’s history. Having achieved our deleveraging objectives and substantially consolidated our operations, we are now well-positioned to transition from financial stabilization to growth, looking primarily at opportunities in the United States, while enhancing shareholder returns and driving sustainable value creation for all stakeholders including our neighboring communities.”

Jaime Muguiro joined Cemex in 1996 and has held several executive positions in Strategic Planning, Business Development, Ready-Mix Concrete, Aggregates, and Human Resources areas. He has headed several regional operations for Cemex, including the Mediterranean, South, Central America, and the Caribbean, most recently as President of Cemex in the United States.

About Cemex

Cemex is a global construction materials company that is building a better future through sustainable products and solutions. Cemex is committed to achieving carbon neutrality through relentless innovation and industry-leading research and development. Cemex is at the forefront of the circular economy in the construction value chain and is pioneering ways to increase the use of waste and residues as alternative raw materials and fuels in its operations with the help of new technologies. Cemex offers cement, ready-mix concrete, aggregates, and urbanization solutions in growing markets around the world, powered by a multinational workforce focused on providing a superior customer experience enabled by digital technologies. For more information, please visit: www.cemex.com

Except as the context otherwise may require, references in this press release to “Cemex,” ”we,” ”us,” ”our,” refer to Cemex, S.A.B. de C.V. (NYSE: CX) and its consolidated subsidiaries. This press release contains forward-looking statements within the meaning of the U.S. federal securities laws. Cemex intends these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements in the U.S. federal securities laws. These forward-looking statements reflect Cemex’s current expectations and projections about future events based on Cemex’s knowledge of present facts and circumstances and assumptions about future events, as well as Cemex’s current plans based on such facts and circumstances, unless otherwise indicated. These statements necessarily involve risks, uncertainties, and assumptions that could cause actual results to differ materially from Cemex’s expectations, including, among others, risks, uncertainties, and assumptions discussed in Cemex’s most recent annual report and detailed from time to time in Cemex’s other filings with the U.S. Securities and Exchange Commission and the Mexican Stock Exchange (Bolsa Mexicana de Valores), which factors are incorporated herein by reference, which if materialized could ultimately lead to Cemex’s expectations and/or expected results not producing the expected benefits and/or results. Forward-looking statements should not be considered guarantees of future performance, nor the results or developments are indicative of results or developments in subsequent periods. These factors may be revised or supplemented, and the information contained in this press release is subject to change without notice, but Cemex is not under, and expressly disclaims, any obligation to update or correct this press release or revise any forward-looking statement contained herein, whether as a result of new information, future events or otherwise, or to reflect the occurrence of anticipated or unanticipated events or circumstances. Any or all of Cemex’s forward-looking statements may turn out to be inaccurate. Accordingly, undue reliance on forward-looking statements should not be placed, as such forward-looking statements speak only as of the dates on which they are made. The content of this press release is for informational purposes only, and you should not construe any such information or other material as legal, tax, investment, financial, or other advice. All references to prices in this press release refer to Cemex’s prices for Cemex products and services. There is currently no single globally recognized or accepted, consistent, and comparable set of definitions or standards (legal, regulatory, or otherwise) of, nor widespread cross-market consensus i) as to what constitutes, a ‘green’, ‘social,’ or ‘sustainable’ or having equivalent-labelled activity, product, or asset; or ii) as to what precise attributes are required for a particular activity, product, or asset to be defined as ‘green’, ‘social,’ or ‘sustainable’ or such other equivalent label; or iii) as to climate and sustainable funding and financing activities and their classification and reporting. Therefore, there is little certainty, and no assurance or representation is given that such activities and/or reporting of those activities will meet any present or future expectations or requirements for describing or classifying funding and financing activities as ‘green’, ‘social’, or ‘sustainable’ or attributing similar labels. We expect policies, regulatory requirements, standards, and definitions to be developed and continuously evolve over time.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250401621971/en/

Analyst and Investor Relations - New York

Blake Haider

+1 (212) 317-6011

ir@cemex.com



Analyst and Investor Relations - Monterrey

Patricio Treviño Garza

+52 (81) 8888-4327

ir@cemex.com



Media Relations

Jorge Pérez

+52 (81) 8259-6666

jorgeluis.perez@cemex.com

Source: Cemex

FAQ

What is Cemex's growth strategy under new CEO Jaime Muguiro?

Cemex's strategy focuses on growth in the United States through small to medium-sized bolt-on acquisitions, while emphasizing operational efficiency and shareholder returns.

What experience does Jaime Muguiro bring to his role as Cemex CEO?

Muguiro has been with Cemex since 1996, holding executive positions in Strategic Planning, Business Development, Ready-Mix Concrete, Aggregates, and HR, plus regional leadership roles including US President.

When did Jaime Muguiro take over as Cemex (CX) CEO?

Muguiro began his tenure as Cemex CEO following his appointment by the Board of Directors on February 10, replacing retiring CEO Fernando A. Gonzalez.

What is Cemex's current financial position according to the new CEO?

Cemex has achieved its deleveraging objectives and consolidated operations, positioning the company to transition from financial stabilization to growth phase.