CRH hails 'positive' start to year as sales grow

Building materials group CRH reported a positive start to the year on Wednesday, with group like-for-like sales up 13% in the first quarter and first-half sales, EBITDA and margin set to be ahead of the prior year.

The company said sales growth and performance were supported by improved activity levels and the continued execution of its integrated solutions strategy.

In its Americas Materials segment, first-quarter sales were 13% ahead of the same period last year, driven by commercial progress across all lines of business which more than offset the impact of unfavourable weather conditions on activity levels.

Meanwhile, the Europe Materials operations saw sales grow 11%, helped by strong demand and milder weather in most key markets.

In Building Products, first-quarter quarter sales were up 22%. CRH said this reflected continued delivery of its integrated solutions strategy, strong demand for residential construction, particularly in North America, and continued recovery in certain non-residential segments and positive contributions from prior year acquisitions.

Chief executive Albert Manifold said: "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."

CRH expects the positive demand environment in North America to continue. This, in addition to the continued delivery of its integrated solutions strategy and good commercial management, should positively impact both its Americas Materials and Building Products businesses, it said.

"Despite the challenges of significant energy cost volatility and the ongoing conflict in Ukraine, we expect like-for-like EBITDA in our Europe Materials business to be ahead of the prior year period," it said.