CRH nine-month sales up 6%, on track for FY earnings

Building materials group CRH reported a 6% rise in cumulative sales in the first nine months of the year and said it continues to expect earnings for the year to be in excess of €3bn.

In a trading update for the period from 1 January to the end of September, the company said cumulative sales rose to €20.4bn, up 22% compared with the corresponding period last year, or 6% higher on a proforma basis.

Meanwhile, earnings before interest, taxes, depreciation and amortisation came in at €2.4bn, up 14% on proforma 2015.

The company said third-quarter trading benefited from continued growth in the Americas, albeit at a more modest pace than in the first half which was boosted by favourable early season weather. In Europe, the momentum remained positive.

For the full year, CRH continues to expect overall EBITDA outturn of more than €3bn, up considerably from last year’s €2.22bb. This includes a full year contribution from 2015 acquisitions and is after taking into account the impact of divestments and one-off items.

The company said it continues to maintain a strong focus on prudent financial management and remains on track to deliver year-end net debt of less than two times EBITDA.