CRH Americas Materials H1 Profit Increases by 53%

CRH plc of Ireland has reported first half 2020 EBITDA of US$1.59 billion on sales revenue of US$12.2 billion compared with EBITDA of US$1.62 billion on sales of US$12.8 billion in the first half of 2019. The company notes that first half sales were 5% behind the first half of 2019, as a positive performance in the first quarter was followed by significant, COVID-19 related, disruption in the second quarter.

CRH’s Americas Materials segment reported a 53% increase in first half operating profit, to US$289 million on sales revenue 1% lower at US$4.48 billion. The decrease in sales was primarily driven by COVID-19 restrictions in the second quarter which impacted volumes across all lines of business particularly in the northern regions of Quebec, New York, Pennsylvania and Washington following a strong first quarter performance, however, good like-for-like sales growth in all products in the West region was experienced due to strong demand, solid backlogs and mild weather.

The segment’s total and like-for-like aggregates volumes were in line with 2019. Strong demand in the West was offset by lower activity in the North which was impacted by COVID-19 restrictions and in the south due to unfavourable weather. Total and like-for-like prices increased by 2%, with mid-single digit increases in North and South and flat pricing in the West, influenced by sales mix, which resulted in good margin expansion overall.

Volume 34, Issue 17

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