Cemex (CX) today reported wow profits thanks to Donald Trump and the stronger greenback (and weaker peso) in Q4. Its profits rose a shade under 50% to $214 mn vs the prior year Q4. Its full year profit at $750 mn was 10 times the level of 2015.

However, the same currency effect that boosted profits also nipped sales. In Q4 they fell by 4% to $3.2 bn although in constant currencies (or metric tonnes of cement sold) the volume actually rose 4%. Earnings before interest, taxes, depreciation, and amortization (a measure of cash flow) rose 10% in Q4.

Analyst forecasts were skewed by the exchange rate change and are not very useful here. CX in Q4 missed the expected $3.3 bn in sales and easily beat the predicted $149 profit figure.

*Japan's Toray Industries, TRYIY, reported its 9 mo. results overnight and produced its full-year forecasts. It suffered from the reverse currency trend in its fiscal Q3, a rising yen which boosted revenues from outside Japan in sectors it dominates (where buyers have no alternative supplier) and cut them in more competitive businesses.

Overall, revenues fell to ¥1.49 trillion in its FY to end-Dec., vs ¥1.58 trillion the year before. However, in dollars, revenues $12.808 bn, up 5.6%. The same reversals also show in profits. Operating profits were 3% lower in yen, at ¥114.2 bn, along with pre-tax profits, down 1.99% at ¥115.5 bn. Net profit was up 1% at ¥76.87 bn. And the all-important EPS figure was ¥48.07/sh, up from ¥47.65 the year before.

To get more granularity (an analyst cliché) I examined the main breakdown in the operational sectors of TRYIY in Q3. Its largest business is still fibers and textiles, which it is phasing out, but still key to profits. This business fell because of lower sales to China and Europe (because of the yen) to ¥646 bn (5.545 mn), well below the norm of 40-45%. However its auto supply business, called Plastics and Chemistry, did much better than usual, producing sales of ¥312bn. Carbon fiber products are used to build airplanes and for natural gas pipes, and business was poorer than normal in the 9 months. In fact it was beaten for the normal 5^th place in sales by the environmental arm of Toray, which makes filters for water treatment and fermentation membranes, where sales hit ¥126 bn.

Also up was its 3^rd ranked internet technology business, whose sales rose to ¥191 bn. This reflects Toray's graphene business which supplies makers of lithium batteries (a sector we cover because of our lithium miners Orocobre (OROCF) and Soquimich, SQM). Although I am not sure when the deal was closed, Toray the parent took over its Toray Battery Separator Film Co. by buying out minority shareholders. This is part of the advanced materials business TRYIY aims to grow fast.

Toray is a GE-style chemical conglomerate with interests in everything from nanotech to biotech. Bravely, Toray also predicted how its full year will look after Mar. 31 when the FY ends. It expects revenues of ¥2.06 bn on which it will make both operating and pretax profits of ¥155 bn. Net profit is expected to be ¥95 bn or ¥59.41 per share. These are lowish levels and show how bad the 3^rd quarter really was.