CRH first-quarter sales, EBITDA ahead of prior year

26th Apr 2023 07:33

(Sharecast News) - Building materials company CRH reported a "positive" start to the year on Wednesday as it said that first-quarter sales and EBITDA were ahead of the previous year amid solid demand.

The company said that in what is a seasonally quiet period for the business, sales and EBITDA were driven by "the successful execution" of its integrated solutions strategy, resilient underlying demand, good commercial progress and a strong contribution from 2022 acquisitions.

Group reported sales rose 7% in the first quarter, while like-for-like sales were 5% higher versus the same period a year earlier.

Looking ahead to its first-half trading performance, CRH expects its Americas segments to see "robust" infrastructure demand. It also expects to see good activity in key non-residential segments, continued pricing progress and positive contributions from acquisitions.

"We anticipate a more challenging backdrop in Europe driven by continued inflationary pressures and some slowdown in the new-build residential sector," it said.

"Overall, assuming normal seasonal weather patterns and absent any major dislocations in the macroeconomic environment, we expect group sales, EBITDA and margin for the first half of the year to be ahead of 2022 (H1 2022 EBITDA: $2.2 billion), reflecting the continuing strength and resilience of our integrated solutions strategy."

CRH announced last month that it was planning to pursue a primary listing in the US, with North America currently representing around 75% of group EBITDA. It said on Wednesday that it will now seek formal approval for the listing change from shareholders at an extraordinary general meeting on 8 June.