Mexican cement producer Cemex saw a 38% increase in second-quarter profit to $318 million, despite a 5% decline in sales to $4.13 billion. Core earnings measured by EBITDA dropped 11% to $823 million, mostly in line with analyst estimates.

Cemex faced challenges in Mexico and the U.S., with lower volumes due to record rainfall and slowdown in infrastructure projects. On the flip side, volumes surged in the Middle East and Africa, with potential for earnings growth in Israel.

Leadership plans to refocus on core markets like the U.S., Mexico, and Europe, with more small-to-mid-size acquisitions in the U.S. on the table. Divestments in South and Central America are also planned by the end of next year.

Under new management, Cemex is implementing cost-cutting measures, with a 5% reduction in workforce to around 43,000 employees. The company expects a $200 million boost to EBITDA this year from cost cuts, with potential for the metric to slightly exceed expectations for the full year.

Read more at Yahoo Finance: Mexico’s Cemex posts double-digit profit rise as restructuring kicks in