CRH reports positive 1Q19

CRH reports positive 1Q19
24 April 2019

Ahead of tomorrow's AGM, CRH reports that the group has had a positive start to the year with 1Q19 like-for-like group sales seven per cent ahead of 1Q18. Sales volumes benefited from mild weather conditions and good momentum across most major markets for the group. Sales growth was also supported by pricing progress, reports CRH.

Like-for-like sales for America Materials operations were four per cent up in 1Q19, while aggregate and asphalt volumes were ahead of 1Q18 due to favourable weather in the north and south, although severe weather conditions in the west and Canada impacted ready-mix and cement volumes.

In Europe like-for-like sales were 12 per cent ahead in 1Q19 after strong pricing momentum and milder weather conditions. The UK increased volumes of ready-mix, asphalt and cement and had favourable pricing. Strong volumes of cement were also achieved in Switzerland, Germany, Ireland, Finland and southeast Europe.

In the YtD the group spent approximately EUR0.2bn on 16 bolt-on acquisitions and investments. The Ash Grove acquisition, completed in June 2018, traded in line with expectations with synergy delivery progressing as planned, says CRH.

In light of CRH's strong balance sheet and cash generation, the Board is proposing to continue the share buyback programme with a further tranche of up to EUR350m to be completed before the group's interim results announcement in August. 

Group EBITDA, for the seasonally less significant first half of the year, is expected to be in excess of EUR1.5bn (1H18: EUR1.13bn), reflecting a mid-single digit percentage increase on a like-for-like basis with a good contribution from acquisition activity.

Published under Cement News

Tagged Under: CRH 1Q19 business results