Grupo Simec Nine-Month Net Income Rises 428% to Ps. 4,028 Million

Grupo Simec, S.A.B. de C.V. (SIM ) said on October 28, 2026, that net income for the first nine months of 2026 rose 428% to 4,028 million Mexican pesos (Ps. 4,028 million) from Ps. 763 million in the same period of 2025, as net sales increased 10% to Ps. 24,569 million. The Guadalajara-based steelmaker attributed the profit increase mainly to a net exchange gain of Ps. 280 million recorded in the 2026 period, compared with a net exchange loss of Ps. 3,050 million a year earlier, according to the company’s earnings release.

The company, whose shares trade on the NYSE and the BMV, reported results for the nine-month period ended September 30, 2026.

Nine-Month Revenue and Margin Detail

Net sales rose to Ps. 24,569 million from Ps. 22,320 million, an increase the company said reflected 14% higher shipments of finished steel products and a 4% lower average sales price. Shipments totaled 1.597 million tons in the 2026 period versus 1.400 million tons a year earlier. Sales in Mexico increased 11% to Ps. 13,981 million from Ps. 12,569 million, while sales outside Mexico rose 9% to Ps. 10,588 million from Ps. 9,751 million.

Cost of sales increased 10% to Ps. 18,636 million from Ps. 16,893 million, representing 76% of net sales in both periods, which the company attributed to the higher volume of products shipped. Gross profit reached Ps. 5,933 million versus Ps. 5,427 million, representing 24% of net sales in both periods. Selling, general and administrative expenses rose 9% to Ps. 2,219 million from Ps. 2,036 million, holding at 9% of net sales in both periods. Other net income fell to Ps. 86 million from Ps. 393 million. Operating income edged up to Ps. 3,800 million from Ps. 3,784 million, representing 15% and 17% of net sales, respectively.

EBITDA increased 3% to Ps. 4,724 million from Ps. 4,594 million. The company calculated the 2026 figure as net income of Ps. 4,028 million, less minority stake of Ps. 2 million, plus income taxes of Ps. 697 million, less comprehensive financial income of Ps. 923 million, plus depreciation of Ps. 924 million. Depreciation and amortization in the 2025 period was Ps. 811 million.

The comprehensive financial result swung to net income of Ps. 923 million in the 2026 period from a net expense of Ps. 2,229 million a year earlier; alongside the exchange difference, the company recorded net other financial income of Ps. 21 million. Net tax expense was Ps. 697 million, including Ps. 19 million of deferred tax income, versus Ps. 793 million a year earlier, which included Ps. 71 million of deferred tax expense.

Third-Quarter Results

Third-quarter net sales were Ps. 8,383 million, up from Ps. 8,154 million in the second quarter of 2026 and Ps. 7,485 million in the third quarter of 2025. The company said the 12% year-over-year increase reflected 10% higher volume and a 1% higher average sales price. Shipments were 551 thousand tons, versus 516 thousand tons in the prior quarter and 499 thousand tons a year earlier.

On a sequential basis, sales outside Mexico rose 16% to Ps. 3,863 million while sales in Mexico fell 6% to Ps. 4,520 million, and prices of finished products decreased 4%. Cost of sales rose to Ps. 6,622 million from Ps. 6,117 million, representing 79% of net sales versus 75% in the second quarter, while the average cost per ton increased 1%. Gross profit fell 14% sequentially to Ps. 1,761 million, representing 21% of net sales versus 25% in the second quarter. Versus the third quarter of 2025, the company said gross profit remained constant at Ps. 1,761 million versus Ps. 1,759 million, while the margin was 21% versus 23%.

Third-quarter operating income was Ps. 1,038 million, versus Ps. 1,298 million in the second quarter of 2026 and Ps. 1,159 million in the third quarter of 2025. EBITDA was Ps. 1,370 million, versus Ps. 1,600 million and Ps. 1,428 million in those respective periods. Selling, general and administrative expenses were Ps. 773 million, up 5% sequentially and 6% year over year.

The company recorded third-quarter net income of Ps. 1,710 million, versus Ps. 611 million in the second quarter of 2026 and Ps. 459 million in the third quarter of 2025. It attributed the increases mainly to a net exchange gain of Ps. 645 million in the quarter, versus net exchange losses of Ps. 579 million in the prior quarter and Ps. 718 million a year earlier. Third-quarter tax expense was Ps. 198 million, including Ps. 5 million of deferred tax income.

Product Mix and Debt

Special bar quality shipments for the nine months were 385 thousand tons at an average price of 18,571 pesos per ton, generating Ps. 7,150 million, versus 378 thousand tons at 20,434 pesos per ton, or Ps. 7,724 million, a year earlier. Commercial long steel shipments were 1,212 thousand tons at 14,372 pesos per ton, or Ps. 17,419 million, versus 1,022 thousand tons at 14,282 pesos per ton, or Ps. 14,596 million. The total average price per ton was 15,384 pesos, down from 15,943 pesos, while the cost per ton fell to 11,669 pesos from 12,066 pesos. In the third quarter alone, the average price per ton was 15,214 pesos and the cost per ton was 12,018 pesos.

As of September 30, 2026, the company’s total consolidated debt consisted of U.S. $302,000 of 8 7/8% medium-term notes due 1998, equivalent to Ps. 5.5 million, with accrued interest of U.S. $891 thousand, or Ps. 16.1 million. A year earlier, accrued interest on the same notes was U.S. $863 thousand, or Ps. 15.8 million.

The company’s most recent Form 6-K in SEC filing records is dated July 31, 2026, and its quarterly-reports webpage listed first- and second-quarter 2026 reports as of October 28, 2026.