LafargeHolcim upbeat on US market
Published by Joseph Green,
According to the latest Reuters report, LafargeHolcim is upbeat about the prospects for the US construction market as cost savings and price increases let the world's largest cement maker cushion the impact of weaker sales volumes during Q3.
Despite a 5% drop in cement volumes in the United States, the Swiss construction materials giant announced that it expected a return to growth for the country's construction industry.
The US market is important for LafargeHolcim, generating around 11% of its earnings in 2015.
Chief Executive Eric Olsen said he expected the US market to continue on a solid growth path, attributing a recent downturn to bad weather in some regions and a delay in some projects.
LafargeHolcim shares surged after it reported operating earnings before interest depreciation and amortisation of 1.68 billion Swiss francs (US$1.72 billion), slightly above market expectations.
The 10.5% increase enabled the company to confirm its goal of a high-single-digit percentage increase in the measure this year, sending the stock 2.9% higher.
The performance came despite a drop in sales amid the divestment of some businesses as well as lower cement volumes.
Read the article online at: https://www.worldcement.com/the-americas/07112016/lafargeholcim-upbeat-on-us-market/
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