SIM · Grupo Simec, S.A.B. de C.V.

Grupo Simec's Q1 2026 results showed net sales growth of 3% to Ps. 8,032 million versus Q1 2025, primarily from an 11% increase in finished steel product shipments to 530 thousand tons, despite a 7% decline in average sales prices. Domestic sales in Mexico rose 8% to Ps. 4,647 million, while exports fell 2% to Ps. 3,385 million. Cost of sales edged up 2% to Ps. 5,897 million but declined 8% per ton, lifting gross profit to Ps. 2,135 million or 27% of sales from 26% prior year. SG&A expenses increased 12% to Ps. 709 million, or 9% of sales. Operating profit grew 3% to Ps. 1,465 million, maintaining 18% margin. EBITDA rose 4% to Ps. 1,754 million, supported by higher net income of Ps. 1,706 million, lower income taxes of Ps. 71 million, and comprehensive financial income of Ps. 312 million including Ps. 213 million exchange gain. Versus Q4 2025, sales were up 1% with stable volumes, gross margin improved to 27%, SG&A fell 11%, and net income more than doubled to Ps. 1,706 million from Ps. 733 million due to favorable financial results. Balance sheet strengthened with total assets at Ps. 73,814 million, cash steady at Ps. 28,269 million, and minimal debt of Ps. 5.5 million in legacy MTNs. Strong profitability reflects volume gains and cost efficiencies amid pricing pressures.