CRH report half-year results
CRH PLC, the Dublin-based international building materials group, have reported a 51% decrease in operating profit to €188 million for the six months ended 30 June 2010 (2009: €241 million), while pre-tax profit for the same period fell 77% to €25 million (2009: €108 million) on revenues that were down 8% at €7,658 million (€8,292 million).
Group earnings before interest, tax, depreciation and amortization (EBITDA) for the half year declined by approximately 20% to €520 million, compared with €651 million in 2009.
Commenting on the financial performance, CRH chief executive Myles Lee said: ‘European economic indicators have been more encouraging, although uncertainties remain, particularly concerns relating to the recovery in the US have increased with a continuing flow of disappointing economic data.
‘Over this period, which represents the effective start of its main earning season, our Americas Materials business has experienced weaker than expected volumes and more competitive pricing due to lower than anticipated levels of commercial construction and pull-backs in state and municipally funded projects...With a robust balance sheet and an anticipated strong second-half cash inflow, the group is well positioned to respond to the current challenges and, against a tougher than anticipated second-half backdrop, is continuing to focus on cost reduction, cash generation and the identification and completion of suitable of development opportunities.’
