CRH plc issued a company update for Jan. 1 to Sept. 30. Cumulative nine-month sales to the end of September amounted to $22.8 billion, an increase of 11% compared with the corresponding period in 2020 and 7% ahead on a like-for-like basis. First-half growth moderated in the third quarter as easing pandemic related restrictions in the third quarter of 2020 resulted in a strong prior year comparative.
Third quarter sales remained ahead of prior year across all divisions, with good demand in key markets. Americas Materials was primarily driven by improved pricing as volume growth was impacted by inclement weather. Nine-month like-for-like sales for its Americas Materials operations were 3% ahead of the equivalent period in 2020, driven by higher volumes in aggregates, cement and ready mixed concrete, along with pricing progression across all lines of business.
- Aggregates – Like-for-like aggregates volumes for the nine months were 2% ahead of 2020 driven by good demand in the Northeast and West divisions; average year-to-date prices increased by 2%. On a mix-adjusted basis, aggregates pricing increased 4%, with increases in all regions, resulting in good margin expansion.
- Asphalt – Unfavourable weather in the South and lower volumes in the Northeast and Great Lakes divisions offset strong backlog execution in the West division, resulting in nine-month like-for-like volumes 1% behind 2020; average prices were 2% ahead.
- Ready mixed concrete – Volumes for the nine months were 4% ahead on a like-for-like basis, driven by strong demand; average prices were 4% ahead with increases in all regions.
- Paving and Construction Services: Nine-month like-for-like sales in its paving and construction services business were 4% behind 2020 primarily driven by inclement weather in the South and a slower start to the season in the Northeast and Great Lakes divisions. The West division saw increased activity driven by good underlying demand. Construction margins were ahead of prior year.
- Cement – Strong market demand across all regions resulted in nine-month volumes 6% ahead of 2020; prices were 5% ahead with good momentum in both the United States and Canada.
“CRH continues to perform well with good underlying demand and pricing progress across our key markets,” said Albert Manifold, chief executive. “Our uniquely integrated and solutions-focused business model has supported further margin expansion across our businesses, while our strong cash generation and disciplined approach to capital allocation provides further opportunities to create value for all of our stakeholders. Looking ahead to the remainder of the year, we expect to deliver another record performance for the group, with full-year EBITDA in excess of $5.25 billion.”