CRH announce interim results

27% increase in EBITDA in six months to end of June 2014 reflects strong operating leverage

CRH plc, the Dublin-based international building materials group, have reported a 4% increase in sales revenue to €8.3 billion (H1 2013: €8.0 billion) for the six months ended 30 June 2014. Sales revenue was up 7% in Europe and up 1% in the Americas over the six-month period.

At €505 million, earnings before interest, tax, depreciation and amortization (EBITDA) in the first half of 2014 was 27% ahead of first-half 2013 (€397 million), reflecting strong operating leverage.

Operating profit was up €130 million to €171 million in the first six months of 2014 (H1 2013: €41 million), while pre-tax profit was up €132 million from a loss of €71 million in the first-half 2013 to €61 million this year.

First-half acquisitions/investments this year amounted to €130 million and net debt of €3.7 billion was €0.5 billion lower than June 2013.

Commenting on the results, CRH chief executive Albert Manifold (pictured) said: ‘2014 got off to an encouraging start with favourable weather in Europe and continuing recovery in the US. We are pleased with the strong operating leverage which is reflected in margin improvement for the period.

‘Economic indicators continue to be positive in the Americas, while in Europe we have seen some easing of trends in recent months. Assuming normal weather patterns and no major market dislocations, and with the benefit of contributions from acquisitions and cost-saving measures, we continue to expect second-half group EBITDA to be somewhat ahead of last year (H2 2013: €1.08 billion).’