GRUPO SIMEC, S.A.B. de C.V. (SIM) SEC Filings

Grupo Simec, S.A.B. de C.V., a Mexican producer of special bar quality and structural steel with operations in Mexico and Brazil and inactive plants in the United States, describes its 2025 operations and risk profile. Series B Common Stock outstanding totaled 497,709,214 shares as of December 31, 2025. Financial statements are prepared in pesos under IFRS, with convenience translations generally using Ps. 17.9528 per U.S.$1.00 and an indicative rate of Ps. 17.5023 per U.S.$1.00 on July 15, 2026.

Installed crude steel capacity is 6 million tons and rolling capacity 5.9 million tons across 12 active facilities. Total 2025 steel product sales reached 1,932.7 thousand tons, with about 55% of volume from Mexico and 45% from Brazil. SBQ products represented 9.8% of steel product sales; 78% of SBQ volume went to the automotive industry. Exports to the United States generated 3.8% of consolidated net sales and are subject to a 25% Section 232 tariff, which added approximately Ps. 280.3 million of costs in 2025.

The company focuses on high‑margin, value‑added products, cost control and selective acquisitions, and plans 2026 capital expenditures of Ps. 2,653 million after investing Ps. 2,892 million in 2025. Disclosed risks include global steel overcapacity, trade and tariff changes, energy and raw material volatility, environmental compliance and remediation obligations, cyber and data threats, concentration in automotive demand, political and security conditions in Mexico and Brazil, internal control weaknesses, and potential adverse tax or PFIC consequences for U.S. investors.

Grupo Simec reported a sharp improvement in profitability for the first six months of 2026. Net sales rose 9% to Ps. 16,186 million, driven by a 16% increase in finished steel shipments to 1,046 thousand tons, partly offset by a 6% lower average sales price. Sales in Mexico grew 15% to Ps. 9,461 million, while sales outside Mexico increased 2% to Ps. 6,725 million. Gross profit climbed to Ps. 4,172 million with margin improving to 26%, and EBITDA increased 6% to Ps. 3,354 million. Net income attributable to controlling interest jumped to Ps. 2,317 million, up 662%, mainly because net exchange loss shrank to Ps. 365 million from Ps. 2,332 million, turning comprehensive financial cost into a modest income.

Quarterly, second‑quarter 2026 sales edged up to Ps. 8,154 million from Ps. 8,032 million in the first quarter, but EBITDA fell to Ps. 1,600 million and net income to Ps. 611 million, reflecting higher exchange losses and income taxes. Versus second quarter 2025, sales grew 16% and results swung from a Ps. 1,000 million loss to a profit of Ps. 611 million. The balance sheet remains very strong, with cash and cash equivalents of 27,437,293 thousand pesos and only Ps. 5.3 million of medium‑term notes outstanding; total liabilities equal 11,845,794 thousand pesos against total assets of 73,022,720 thousand pesos, comfortably meeting all debt covenants.

Grupo Simec reports that it did not file its Annual Report on Form 20-F for the year ended December 31, 2025 by the SEC deadline. The company is performing additional procedures on its disclosure, internal process controls, and 2025 financial statements before completing the filing.

Because of the delay, Grupo Simec is currently not in compliance with SEC reporting requirements and New York Stock Exchange procedures. The company is in ongoing contact with the NYSE about curing the late filing and says it is working diligently to file the Form 20-F as promptly as possible.

Investors can still review results for the year ended December 31, 2025 and for the first three months of 2026 through the company’s Form 6-Ks furnished to the SEC on May 1, 2026.

Grupo Simec, S.A.B. de C.V. has disclosed that it will not be able to file its Annual Report on Form 20-F for the year ended December 31, 2025 within the additional time granted under Rule 12b-25. The delay is attributed to final administrative steps needed to complete the submission.

The Company expects to file the Form 20-F in the near term. In the meantime, it directs investors to previously furnished Form 6-K reports dated May 1, 2026, which contain its results of operations for full-year 2025 and for the first three months of 2026.

Grupo Simec reported a solid first quarter of 2026, with stronger profits on modestly higher sales. Net sales rose to Ps. 8,032 million from Ps. 7,783 million a year earlier, as shipments of finished steel products increased 11% to 530 thousand tons while average prices fell 7%.

Cost of sales grew only 2%, so gross profit improved to Ps. 2,135 million and gross margin reached 27%. Operating income edged up to Ps. 1,465 million, maintaining an 18% operating margin. EBITDA increased 4% to Ps. 1,754 million.

Comprehensive financial income was a key driver, swinging to a net income of Ps. 312 million from Ps. 57 million, helped by a Ps. 213 million foreign-exchange gain. Income tax expense fell to Ps. 71 million. As a result, net income attributable to controlling interest jumped 31% to Ps. 1,706 million, and basic earnings per share rose to Ps. 3.43 from Ps. 2.62.

The balance sheet remained strong at March 31, 2026, with total assets of Ps. 73,814,095 thousand, cash and cash equivalents of Ps. 28,268,709 thousand, and total liabilities of Ps. 11,971,546 thousand. Equity attributable to owners reached Ps. 61,813,367 thousand. Financial covenants on medium-term notes were comfortably met, including a current-assets-to-current-liabilities ratio of 5.77x and a liabilities-to-assets ratio of 0.16.

Grupo Simec reported a tougher 2025 as currency movements heavily reduced profit despite relatively stable operating performance. Net sales for the twelve months ended December 31, 2025 fell 10% to Ps. 30,291 million, driven by 6% lower steel shipments and a 4% decline in average prices.

Gross profit slipped only 2% to Ps. 7,508 million, with gross margin improving to 25% from 23% as costs per ton fell 7% on lower scrap. However, net income attributable to controlling interest dropped 86% to Ps. 1,496 million, mainly because a prior-year net exchange gain of Ps. 5,556 million turned into a net exchange loss of Ps. 3,607 million, swinging comprehensive financial results from income to expense.

EBITDA was broadly flat, down 1% to Ps. 6,287 million, and operating income eased 2% to Ps. 5,205 million. In the fourth quarter of 2025, sales declined 10% year over year, but gross profit rose 46% and EBITDA 44%, reflecting lower unit costs. The balance sheet remained strong, with total assets of Ps. 71,279 million, cash and cash equivalents of Ps. 28,551 million, and very low financial debt.

GRUPO SIMEC, S.A.B. de C.V. director Raul Arturo Perez Trejo filed an amended Form 3, which is the initial statement of beneficial ownership for insiders. This amendment does not report any share purchases, sales, option exercises, gifts, or other transactions, and shows no derivative positions in the data provided.

GRUPO SIMEC, S.A.B. de C.V. director Alfonso Barragan Galindo filed an initial statement of beneficial ownership on Form 3. This filing establishes his status as an insider of the company but does not report any stock purchases, sales, option exercises, or other equity transactions.

GRUPO SIMEC, S.A.B. de C.V. insider Raul Arturo Perez Trejo filed an initial Form 3 as a ten percent owner of the company. The filing lists him as a significant shareholder but shows no reported purchases, sales, or other transactions in the company’s securities at this time.