CRH Touts Good Start to the Year

CRH plc, the global building materials group, issued a Trading Update for the first quarter, noting:

  • Positive start to the year, good underlying demand; First-quarter sales, EBITDA and margin ahead.
  • Integrated solutions strategy continuing to deliver across all divisions.
  • Year-to-date acquisition spend $0.6 billion; strong pipeline of opportunities.

Albert Manifold, chief executive, said, “The continued delivery of our solutions strategy resulted in a good start to the year. Although a number of challenges and uncertainties continue, our demand backdrop remains favourable and absent any major dislocations in the macroeconomic environment, we expect first-half sales, EBITDA and margin to be ahead of the prior year period.”

Sales for the company’s Americas Materials operations were 13% ahead of the same period in 2021, driven by commercial progress across all lines of business which more than offset the impact of unfavorable weather conditions on activity levels in this seasonally less-significant quarter.

  • Aggregates: First-quarter aggregates volumes were 3% behind 2021, impacted by adverse weather conditions in the Northeast, Great Lakes and West divisions; average year-to-date prices increased by 7%.
  • Asphalt: Volumes were 19% ahead as the benefit of acquisitions offset the negative impact of weather and timing of projects; average prices increased 8%.
  • Ready Mixed Concrete: Volumes were 6% behind as poor weather conditions in the Northeast, Great Lakes and West divisions offset the more favourable conditions in the South; average prices were 12% ahead with increases across all regions.
  • Paving and Construction Services: Sales in our paving and construction services business were 29% ahead of 2021 primarily driven by milder weather in the South division and the timing of a number of large projects in the West.
  • Cement: Volumes were in line with 2021 as strong demand in the central and southern regions was offset by weather-impacted performances in Canada and some western regions; prices were 11% ahead with good momentum in both the United States and Canada.

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