CRH earnings expected to reach €3.35 billion for 2018
By Maurice Garvey
BUILDINGS material giant CRH expects full-year earnings for 2018 to come in at around €3.35bn, which would be more than six per cent ahead of last year.
In its latest trading update, Ireland’s largest company, reported an eight per cent year-on-year rise in earnings before interest, tax, depreciation and amortisation to €2.5bn for the first nine months of the year.
The growth is driven by continued positivity in its European operations and improved demand in Asia, where it is active in China, India and the Philippines.
Headquartered at Belgard Castle, CRH said that the strategic review of its European distribution business which saw a one per cent rise in sales in the first nine months of the year, but a four per cent drop in earnings, remains ongoing.
It said its previously-announced plan to generate €7bn of financial capacity by 2021 is “progressing as planned”, with early signs of delivery expected by next year.
CRH also said it has begun the third phase of its €1bn share buyback plan, and is due to spend a further €100m by the end of December.
CRH Chief Executive Albert Manifold has spent €13bn on acquisitions over the past four years, while selling off €4bn of unwanted and underperforming assets.
He has set his sights on boosting its Ebtida margin by three percentage points by 2021 from 12 per cent reported last year.
