CRH's nine-month results show growth

In its autumn trading statement, CRH said that turnover improved by three per cent in Europe and by five per cent in the Americas, or four per cent overall.

EBITDA should be ahead by around 10 per cent on both sides of the Atlantic, having seen a 27 per cent rise during the first half (+61 per cent in Europe and broadly unchanged in the Americas). Depreciation and amortisation charges are expected to be around five per cent lower than in 2013 and the net interest charge is forecast to be in line with the 2013 charge. Six bolt to acquisitions were made in the third quarter and total development expenditure in the period amounted to some EUR170m higher. 

The European turnover was around two per cent lower in the third quarter and the third quarter EBITDA came close to that achieved in the comparative period last year. The heavy building materials underlying sales in the third quarter were some three per cent lower following the seven per cent first half rise. Switzerland remained strong and cement shipments grew. Poland saw cement volumes well ahead and cement deliveries in the Ukraine also increases in spite of the uncertain political situation. In Ireland, markets are improving. On the other hand, Finland has seen weaker demand for cement and aggregates. In Spain and the Netherlands volumes and prices were under pressure. In building products, the EBITDA for the year is expected to be some 50 per cent ahead. With strong volumes in Great Britain for clay products, sales of concrete products were weaker in the Dutch and German markets. On the distribution side, the EBITDA for the year should be in line with the EUR186m seen in 2013.

In the Americas, the third quarter volumes rose by an underlying eight per cent, with a six per cent increase on ready-mixed concrete and +3 per cent in asphalt. Building products saw a seven per cent rise in third quarter sales and the EBITDA advanced, helped by better volumes. Turnover in distribution increased by some five per cent in the year to date, following a nine per cent third quarter advance, and the full year EBITDA could improve by some 10 per cent.