LafargeHolcim reported a 6.2 percent increase in net sales during the second quarter of 2018, compared with the same period last year. Net sales in the first half of 2018 were also up 4.8 percent, on a like-for-like basis.
Earnings improved with volumes in the United States accelerating throughout the first half of 2018 supported by positive market conditions as well as successful commercial initiatives, the company said.
The contribution from Canada was solid despite persistent difficult conditions in the Prairies. Earnings for the region overall were constrained by higher logistics costs and maintenance activities to cope with demand growth.
Jan Jenisch, chief executive officer of LafargeHolcim, said, “I am very satisfied with the sales growth we achieved in the first half of the year, especially as we gained momentum in the second quarter. Increasing energy prices and cost inflation have been challenging. Operational issues in some markets have been addressed and we expect to deliver increasing margins as we capture the upward trend in demand through the second half of 2018.
“We remain focused on delivering Strategy 2022 – ‘Building for Growth.’ Recent bolt-on acquisitions in the United States and France demonstrate our focus on capturing the growth opportunities in our most attractive markets,” he continued. “The beneficial effects of simplification and cost reduction are also becoming more visible. We continue to focus on delivering our 2018 targets.”
The company recently announced the acquisition of Tarrant Concrete Co., a leading ready-mixed concrete manufacturer in the Dallas-Fort Worth (DFW) area.
“For more than four decades, Tarrant Concrete’s talented employees and strong focus on customer service have made it a partner of choice in Fort Worth and the surrounding area,” said Guy Edwards, CEO for LafargeHolcim’s US Aggregates & Construction Materials business. “Tarrant Concrete aligns well with our Lattimore Materials business, and I look forward to combining our expertise and strengths in Texas.”
The company also appointed Jamie M. Gentoso as chief executive officer of U.S. cement operations. Gentoso, a professional engineer, brings significant experience in the construction materials industry to help lead the organization through the next phase of growth, the company said.