CRH Reports Solid Q1 2024 Results, Reaffirms Full-Year Guidance

CRH plc reports strong Q1 2024 results, with 2% revenue growth to $6.5 billion and 15% adjusted EBITDA increase to $445 million. The company reaffirms full-year guidance and announces strategic acquisitions, share buybacks, and a quarterly dividend.

author-image
Trim Correspondents
New Update
CRH Reports Solid Q1 2024 Results, Reaffirms Full-Year Guidance

CRH Reports Solid Q1 2024 Results, Reaffirms Full-Year Guidance

CRH plc, earnings, call, a leading global building materials group, has reported strong financial results for the first quarter of 2024, driven by positive pricing, early-season activity, and favorable weather conditions in key markets. The company's revenue grew by 2% to $6.5 billion compared to the same period last year, while adjusted EBITDA increased by 15% to $445 million, with a further 80 basis points of margin improvement.

Why this matters: The strong performance of a leading global building materials group like CRH has implications for the overall construction industry and the economy as a whole. A healthy construction sector can drive job growth and stimulate economic activity, making CRH's earnings a bellwether for the industry's prospects.

Commenting on the results, CRH Group Chief Executive Albert Manifold stated, "Overall, it's been a good start to the year in what is the seasonally least significant quarter for our business." The company has reaffirmed its full-year guidance for 2024, expecting group adjusted EBITDA to be between $6.55 billion and $6.85 billion. "Notwithstanding the good start to the year, it's still very early in the construction season, and we're pleased to reaffirm our previous guidance to the market for 2024," Manifold added.

CRH has been active in mergers and acquisitions, completing several strategic transactions in the first quarter. In February, the company acquired cement and ready-mixed concrete assets in Texas for $2.1 billion, with identified run-rate synergies of approximately $60 million. Additionally, CRH acquired a materials business in Northern California and has proposed the acquisition of a majority stake in Adbri, a leading provider of building materials in Australia, which is expected to close in 2024 subject to regulatory and Adbri independent shareholder approval.

Despite substantial outflows due to acquisitions, CRH has maintained a strong balance sheet and continues to prioritize shareholder returns. The company's ongoing share buyback program has returned approximately $600 million so far this year, with a further quarterly tranche of $300 million announced. The Board also declared a new quarterly dividend of $0.35 per share, representing an annualized increase of 5% on the prior year.

CRH remains committed to sustainable practices, with a goal to reduce emissions by 30% by 2030 and achieve net-zero emissions by 2050. The company's focus on circularity and recycling, particularly as the largest recycler in the United States, underscores its dedication toearnings, beat, revenue, topped, estimates.

CRH's solid first-quarter performance, driven by positive pricing momentum, early-season project activity, and favorable weather conditions in key markets, sets the stage for a strong 2024. With strategic acquisitions, a robust balance sheet, and a commitment to sustainability, the company is earnings, call, plc, reports, robust, growth, main.