Continued profit growth for CRH building giant
By Maurice Garvey
BELGARD building materials giant CRH, reported 2017 as a year of “continued profit growth” for the company.
According to the firm’s 2017 full year results, they saw an increase in demand in the Americas and continued positive momentum in Europe, while experiencing competitive market conditions in Asia.
The company posted record full-year ebitda (earnings before interest, tax, depreciation and amortisation) of €3.3 billion.
Sales of €27.6 billion for the period were two per cent ahead of 2016, and two per cent ahead on a like-for-like basis.
CRH Chief Executive Albert Manifold said: “2017 was a year of continued profit growth for CRH. We benefited from increases in underlying demand in the Americas and positive momentum in Europe, and with focus on performance improvement and operational delivery, margins and returns were ahead of last year in our American and European Divisions.
“Supported by strong operational cash generation, we continued to deliver value through efficient capital management. With a balanced portfolio of businesses CRH is well positioned to capitalise on ongoing economic recovery and our focus remains on consolidating and building upon the gains made in 2017. Against this backdrop, we believe that 2018 will be a year of continued growth for the group.”
In Europe, total sales were up one per cent compared with 2016, and organic sales were two per cent ahead due to continued recovery in key markets.
The firm said broad-based recovery in Ireland, France, Poland and Finland, more than offset “subdued activity in Switzerland and the UK.”
Sales and operating profit ahead of 2016
In Ireland, both sales and operating profit were ahead of 2016, mainly due to market recovery, particularly in residential and commercial sectors, which resulted in growth in cement, aggregates and readymixed concrete volumes.
Organic sales increased by three per cent in CRH’s Americas Materials Division.
In the Americas, CRH’s biggest market, €1.3 billion was spent on 21 acquisitions and one investment in 2017.
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