LafargeHolcim reported third-quarter net sales growth of 4.1 percent year-on-year. The company said it delivered solid like-for-like operating EBITDA Adjusted Growth in the third quarter with positive contributions from Latin America, North America and Europe.
Market conditions were challenging in Asia Pacific and Middle East Africa where actions are being taken to address weakness in key countries.
Aggregates sales in the third quarter totaled 80.1 million tons, down 1.5 percent, versus 81.3 million tons in the third quarter of 2016. Aggregates sales for the year were 208.1 million tons, down 1.6 percent, versus 211.5 million tons in the first nine months of 2016.
Like-for-like cement volumes were up 4.7 percent in the third quarter and 1.8 percent year-to-date. Globally, cement prices improved by 5.6 percent in the quarter compared to the prior year on a like-for-like basis.
Jan Jenisch, group CEO of LafargeHolcim said, “In the past two months I have visited many of our operations and have been impressed by the experience and enthusiasm of our employees. LafargeHolcim is a first-class company with growing profits in an attractive industry. While the company delivered solid quarterly results, they do not reflect our full potential. As the market leader, we will hold ourselves to a higher standard than anyone else in our sector.
“Today we have reset expectations for the Group’s outlook to a level that reflects the current business dynamics,” he said. “While I am reviewing the business, I have an immediate focus on simplification, cost discipline and performance management. We will reduce complexity and focus on operational excellence in order to fully realize the potential of LafargeHolcim. My goal is to generate leading margins and an attractive growth profile, positioned for sustainable value creation for our employees, customers and shareholders.”