Cementos Pacasmayo S.A.A. (CPAC): Marketing Mix Analysis [Dec-2025 Updated]

You're looking to understand what's really driving the success at Cementos Pacasmayo S.A.A. right now, past the standard press releases. Honestly, their late-2025 performance shows a marketing strategy that's clearly working, especially given the 6.8% jump in bagged cement and concrete sales volume through the first nine months of the year. We see this play out across their four pillars: from specialized products tailored for local infrastructure needs to a regional 'Place' strategy focused on Northern Peru, all while they pushed selling expenses up 25.5% in Q3 to fuel that growth through Promotion. The bottom line speaks volumes: a 15.6% year-over-year net income rise to S/172.0 million and a solid 27.3% EBITDA margin prove their 'Price' and product mix are spot on for the current market. Stick with me; I'll break down exactly how Cementos Pacasmayo S.A.A. is executing this winning 4P strategy below.

Cementos Pacasmayo S.A.A. (CPAC) - Marketing Mix: Product

You're looking at the physical things Cementos Pacasmayo S.A.A. (CPAC) puts in front of the market. The core offerings are straightforward: cement, ready-mix concrete, and precast materials, plus the specialized quicklime product. Honestly, the volume growth shows the market is hungry for these basics; sales volume of cement, concrete, and precast increased by a solid 6.8% for the first nine months of 2025 (9M25) compared to 9M24.

Cement remains the bedrock of the business. For the third quarter of 2025 (3Q25), sales of cement accounted for 83.9% of the total sales generated by the combined cement, concrete, and precast segment. Even with that dominance, the growth in the other segments is notable. For 9M25, sales of cement grew 7.0% year-over-year, while precast sales saw a stronger jump of 11.6% compared to 9M24.

Here's a quick look at how the main product categories stack up based on recent performance data:

The Quicklime production is a strategic diversification, serving industrial needs outside of pure construction. This product line specifically supports the Peruvian mining sector for essential industrial processes, like ore processing and material treatment. The quicklime segment was actually a contributor to the robust revenue increase seen in 3Q25.

When we look at profitability, the focus shifts to the value-added components. You should know that precast materials, and specifically the paver stones within that line, are reported as the most profitable product line for Cementos Pacasmayo S.A.A.. This makes sense; standardized, high-quality precast elements command better margins than commodity cement. Also, the company defintely tailors its cement formulations. They engineer these for structural integrity, long-term strength, and compatibility with the varied environmental conditions found across different project sites in Peru.

The product strategy centers on:

• Engineering cement formulations for specific climate conditions.
• Producing ready-mix concrete for immediate, on-site application.
• Standardizing precast elements like paver stones for uniformity.
• Maintaining a specialized offering like quicklime for the mining industry.

Cementos Pacasmayo S.A.A. (CPAC) - Marketing Mix: Place

You're looking at how Cementos Pacasmayo S.A.A. gets its products to the job site. For a heavy industry like this, Place is all about proximity, capacity, and making sure the supply chain doesn't stall a major build.

Operations are strategically focused on the Northern region of Peru, where Cementos Pacasmayo S.A.A. holds a leadership position, being the only cement producer in that area,. This regional concentration allows for optimized logistics costs by being closer to the final consumer.

The physical backbone of this distribution strategy is its network of manufacturing sites. Regional manufacturing facilities are located in Pacasmayo, Piura, and Rioja,. The total installed capacity across these three cement plants is 4.9 million TM/year,.

Distribution relies on a coordinated supply chain to minimize construction delays. This coordination extends across its various production units, including ready-mix concrete plants in cities like Chimbote, Trujillo, Pacasmayo, Chiclayo, Piura, and Cajamarca. The company also operates a significant fleet to support material movement.

To maintain and grow this capability, the company is actively investing in capacity expansion, with PEN62.7m in capex in 6M 2025. This investment shows a clear commitment to strengthening the physical network where you need the materials.

Here's the quick math on where that PEN62.7m capital expenditure went in the first six months of 2025:

The logistics structure moves products from plants to diverse construction sites, supporting everything from self-construction to large infrastructure,. This structure includes significant mobile assets designed for on-site support.

The physical distribution assets supporting the northern region include:

• 123 mixers
• 30 telescopic pumps
• 6 mobile plants
• 8 fixed plants in key northern cities

The ready-mix concrete operations alone have an installed annual capacity of 600,000 m3, allowing them to meet custom requirements. Cementos Pacasmayo S.A.A. has developed one of the largest local construction material distribution networks.

Cementos Pacasmayo S.A.A. (CPAC) - Marketing Mix: Promotion

You're looking at the promotional spend for Cementos Pacasmayo S.A.A. (CPAC) as of late 2025, and the numbers show a clear investment in getting their message out there. Honestly, the results from the third quarter tell a big part of the story about how they are pushing their brand and products.

The financial commitment to promotion is evident in the latest figures. Selling expenses saw a significant rise of 25.5% in Q3 2025 when compared to the third quarter of 2024. For the first nine months of 2025, selling expenses were up 24% year-over-year. This increase was explicitly tied to higher advertising and promotion expenses, which is part of their commercial strategy focusing on product attributes. It definitely supports increased sales volume for infrastructure projects.

Here's a quick look at the key promotional and related performance metrics from the third quarter of 2025:

Cementos Pacasmayo S.A.A. leverages its established reputation as a key promotional asset. The company maintained its position in the top 10 of the Merco business ranking, specifically recognized in the Merco Empresas 2025 list. Furthermore, the CEO, Humberto Nadal, reached position 49 in the Merco Líderes ranking, climbing 12 positions from 2023. This long-standing leadership in recognized rankings provides a strong, third-party endorsement for their brand credibility.

The communication strategy is multi-faceted, extending beyond pure advertising to direct support and investor relations. You can see the focus on keeping stakeholders informed through regular updates:

• Held the Q1 2025 earnings call on April 29, 2025.
• Held the Q2 2025 earnings call on July 22, 2025.
• Released the Q3 2025 earnings summary on October 29, 2025.

Also, customer assistance programs are a direct form of promotion that builds loyalty and ensures proper product use. These programs support contractors with guidance on material selection, application techniques, and product compatibility across various project stages. This technical support helps ensure that the high-volume infrastructure projects, such as the Tarata Bridge and the Yanacocha water treatment plant, utilize their products correctly, which in turn reinforces the product's performance reputation. The growth in concrete, pavement, and mortar sales by 26.3% in Q3 2025 is a direct result of this market engagement.

Cementos Pacasmayo S.A.A. (CPAC) - Marketing Mix: Price

The pricing element for Cementos Pacasmayo S.A.A. reflects a careful balance between maintaining competitive positioning in the Peruvian market and capitalizing on operational improvements. Strategy balances competitive pricing with the need for market share preservation. This approach is supported by strong underlying financial performance as of late 2025.

For the first nine months of 2025 (9M 2025), Net income for Cementos Pacasmayo S.A.A. reached S/172.0 million, marking a significant 15.6% increase year-over-year. This profitability is underpinned by efficiency gains, as Gross profit improved due to lower raw material, coal, and energy costs in Q3 2025, with Q3 gross profit increasing by 14.4% compared to Q3 2024. Furthermore, the company maintains a strong EBITDA margin of 27.3% for the first nine months of 2025.

To give you a clearer picture of the financial context influencing pricing decisions, here are some key metrics:

Regarding the market valuation, which often influences perceived value and pricing power, the Analyst consensus price target for CPAC stock is around $6.95 as of late 2025. This target has a range, with high forecasts reaching $7.50 and low forecasts at $6.40 based on the reports from multiple Wall Street equities research analysts.

Here are some specific figures related to recent performance that factor into the pricing strategy:

• Revenues for 9M 2025 increased by 7.3% year-over-year.
• Sales volume of cement, concrete and precast grew by 6.8% in 9M 2025.
• Q3 2025 Revenues reached S/574.1 million, up 10.9% from Q3 2024.
• The company is maintaining CapEx around S/100 million.

The pricing structure must also account for rising operating costs, even with raw material benefits. Administrative expenses for 9M 2025 increased by 18.7%, and selling expenses rose 24% over the same period, largely due to a union bonus and promotional spend. That's a substantial increase in overhead to factor into the final price you set for the customer.