Sales growth bolsters CRH

CRH reported a 4% increase in sales revenue for the first half of 2014 in its interim results for the six months ending June 30, 2014.

Sales revenue for the Irish-based building materials group was €8.3 billion, up from €8 billion for the first half of 2013. The company saw a 7% increase in sales in Europe and a 1% growth in the Americas.

Earnings before interest, tax, depreciation and amortisation (EBITDA) were in line with the company’s AGM guidance, up 27% to €505 million for first half 2014 compared to €397 million in 2013.

Operating profit also reported a huge gain, at €171 million for the six months up to June 30, 2014, compared with €41 million for the same period in 2013.

Albert Manifold, chief executive, said, “2014 got off to an encouraging start with favourable weather in Europe and continuing recovery in the US.

"We are pleased with the strong operating leverage, which is reflected in margin improvement for the period. Economic indicators continue to be positive in the Americas, while in Europe we have seen some easing of trends in recent months."

He said that with normal weather patterns and assuming no major market dislocations, along with the benefit of contributions from acquisitions and cost saving measures, the group continued to expect second-half group EBITDA to be somewhat ahead of last year's figure of €1.08 billion.