CRH has announced a 13% increase in reported sales for the six months ending 30 June (1H15). Reported sales of €9.4 billion were driven by a 26% increase in the Americas, which offset the 1% decline in Europe. Sales from continuing operations were up 3% in Europe and 32% in the Americas, and up 17% overall. EBITDA from continuing operations was up 29% overall and a remarkable 57% in the Americas.
CRH reports that more than half its multi-year divestment programme of ~€1.5 – 2 billion is complete. Some €113 million was spent on acquisition/investment in 1H15 and divestment/disposal proceeds of €670 million were achieved.
The acquisitions from Lafarge and Holcim are largely complete and integration is underway. The group will focus on integration in the near-term in order to maximise the potential of these acquisitions.
Savings of €28 million were achieved in 1H15, and CRH reports it is on track for its full-year target of €75 million. At €1.2 billion, net debt is €2.5 billion lower than at the end of 1H14.
Chief Executive Albert Manifold commented: ”We are on track to deliver another year of growth in 2015. Trading in the Americas has been good and, against a mixed macro-economic backdrop, underlying trading in Europe is broadly in line. We have made good progress towards achieving our goal of restoring margins and returns to peak over the cycle, with further margin improvement in each operating division. We have also recycled capital from non-core divestments into value creating acquisitions, while maintaining a disciplined, efficient balance sheet. We are now applying CRH rigour to these new businesses to integrate them efficiently and to drive performance.”
Adapted from press release by Katherine Guenioui