CRH (NYSE: CRH), a leading provider of building materials
solutions, today reported fourth quarter and full year 2024
financial results.
Key Highlights
Summary Financials
Q4 2024
Change
FY 2024
Change
Total revenues
$8.9bn
+2%
$35.6bn
+2%
Net income
$0.7bn
+24%
$3.5bn
+15%
Net income margin
8.0%
+140bps
9.9%
+110bps
Adjusted EBITDA*
$1.8bn
+12%
$6.9bn
+12%
Adjusted EBITDA margin*
20.0%
+170bps
19.5%
+180bps
Basic EPS
$1.03
+4%
$5.06
+16%
Basic EPS pre-impairment*
$1.45
+12%
$5.48
+18%
Net cash provided by operating
activities
$5.0bn
(1%)
Return on net segment assets
15.3%
+90bps
Return on Net Assets*
15.5%
+20bps
- Industry-leading performance driven by unmatched scale and
differentiated strategy
- Strong Q4 and FY; another year of double-digit growth in
Adjusted EBITDA* and EPS
- 11th consecutive year of margin expansion1 underpinned by
commercial and operational excellence
- Significant portfolio activity; $5.0 billion invested in
value-accretive M&A
- $1.1 billion invested in growth capex; capitalizing on
attractive organic growth opportunities
- Increasing quarterly dividend to $0.37 (+6% y/y); commencing
new $0.3 billion quarterly share buyback
- Significant financial capacity to support future growth and
value creation
- Positive outlook for FY 2025; supportive underlying trends
across key markets expected to continue
- Expect FY 2025 Net income of $3.7 billion to $4.1 billion;
Adjusted EBITDA* of $7.3 billion to $7.7 billion
Jim Mintern, Chief Executive Officer, said:
"2024 was a strong year for CRH, driven by our
customer-connected solutions strategy and leading positions of
scale in attractive, higher-growth markets. We delivered another
year of double-digit profit growth and an 11th consecutive year of
margin expansion, reflecting a continued focus on commercial
management and operational excellence across the organization. The
strength of our balance sheet enabled us to invest $5 billion in 40
value-accretive acquisitions while also returning $3 billion of
cash to shareholders through dividends and share buybacks. The
outlook for our business remains positive, underpinned by favorable
demand and positive pricing momentum, leaving us well positioned
for another year of growth and value creation ahead."
________________________________________
* Represents a non-GAAP measure. See
'Non-GAAP Reconciliation and Supplementary Information' on pages 14
to 16.
1 Based on IFRS financial reporting to
2022 and U.S. GAAP for 2023 & 2024.
Performance Overview
Three months ended December 31, 2024
Fourth quarter 2024 total revenues of $8.9 billion (Q4 2023:
$8.7 billion) were 2% ahead of 2023. Net income was 24% ahead of
2023 at $0.7 billion (Q4 2023: $0.6 billion) and Adjusted EBITDA*
of $1.8 billion (Q4 2023: $1.6 billion) was 12% ahead, driven by
pricing progress, operational efficiencies and contributions from
acquisitions. Organic Adjusted EBITDA* was 10% ahead of Q4 2023.
CRH’s net income margin of 8.0% (Q4 2023: 6.6%) and Adjusted EBITDA
margin* of 20.0% (Q4 2023: 18.3%) were ahead of the prior year
period. CRH's basic earnings per share for the fourth quarter was
4% higher than the prior year at $1.03 (Q4 2023: $0.99). Basic
earnings per share pre-impairment* was 12% higher than the prior
year at $1.45 (Q4 2023: $1.30).
- Americas Materials Solutions' total revenues were 1%
behind the fourth quarter of 2023, as price increases and
contributions from acquisitions were offset by lower activity
levels due to weather disruption in certain regions. Adjusted
EBITDA was 20% ahead of the prior year period, driven by strong
pricing, operational efficiencies and good cost management.
- Americas Building Solutions' total revenues were 2%
ahead of the prior year period, primarily driven by contributions
from acquisitions as well as growth in energy and water markets.
Adjusted EBITDA was 9% lower than the prior year period, impacted
by adverse weather and against a strong prior year
comparative.
- International Solutions' total revenues were 7% ahead of
Q4 2023 driven by pricing progress and contributions from
acquisitions. Adjusted EBITDA was 9% ahead of the prior year
period, driven by commercial excellence measures, lower energy
costs and operational efficiencies.
Year ended December 31, 2024
2024 was another year of industry-leading financial performance
for CRH, underpinned by our differentiated strategy along with
resilient underlying demand in key end-use markets, continued
commercial progress and contributions from acquisitions. Total
revenues of $35.6 billion (2023: $34.9 billion) were 2% ahead of
2023. Net income was 15% ahead of 2023 at $3.5 billion (2023: $3.1
billion) and Adjusted EBITDA* of $6.9 billion (2023: $6.2 billion)
was 12% ahead, reflecting the continued delivery of the Company's
customer-connected solutions strategy, positive pricing, ongoing
cost control and further operational efficiencies. Organic Adjusted
EBITDA* was 10% ahead of 2023. CRH’s net income margin of 9.9%
(2023: 8.8%) and Adjusted EBITDA margin* of 19.5% (2023: 17.7%)
were well ahead of the prior year. CRH's basic earnings per share
was 16% higher than 2023 at $5.06 (2023: $4.36). Basic earnings per
share pre-impairment* was 18% higher than 2023 at $5.48 (2023:
$4.65).
- Americas Materials Solutions' total revenues were 5%
ahead of 2023, primarily driven by price increases across all lines
of business and positive contributions from acquisitions offsetting
the impact of adverse weather. Adjusted EBITDA was 22% ahead,
driven by pricing improvements, operational efficiencies and good
cost management, along with gains on the disposal of certain land
assets.
- Americas Building Solutions' total revenues were 1%
ahead of 2023, with contributions from acquisitions more than
offsetting the adverse weather impact on trading activity. Adjusted
EBITDA was 4% lower than the prior year, impacted by lower activity
levels in certain markets, subdued new-build residential demand and
against a strong prior year comparative.
- International Solutions' total revenues were 1% behind
2023 due to lower activity levels in certain markets and the
divestiture of the European Lime operations which was partly offset
by positive contributions from acquisitions. Adjusted EBITDA was 7%
ahead, driven by commercial excellence measures, lower energy
costs, a continued focus on cost management and operational
efficiencies along with contributions from acquisitions.
Acquisitions and Divestitures
In 2024, CRH completed 40 acquisitions for a total consideration
of $5.0 billion, compared with $0.7 billion in 2023.
The largest acquisition in 2024 was in Americas Materials
Solutions where CRH acquired an attractive portfolio of cement and
readymixed concrete assets and operations in Texas for a total
consideration of $2.1 billion. In addition, Americas Materials
Solutions completed a further 20 acquisitions and Americas Building
Solutions completed 10 acquisitions for a total spend in the
Americas of $3.8 billion. International Solutions completed nine
acquisitions for a total spend of $1.2 billion, including the
acquisition of a majority stake in Adbri Ltd (Adbri), a market
leader in cement and aggregates in Australia.
CRH completed 10 divestitures and realized proceeds from
divestitures and disposal of long-lived assets (including deferred
divestiture consideration received) of $1.4 billion, primarily
related to the divestiture of the European Lime operations. No
divestitures occurred in the prior year.
During the three months ended December 31, 2024, CRH completed
12 acquisitions for a total consideration of $1.1 billion, compared
with $0.1 billion in the same period of 2023. Americas Materials
Solutions completed six acquisitions, Americas Building Solutions
completed three acquisitions and International Solutions completed
three acquisitions.
During the three months ended December 31, 2024, cash proceeds
from divestitures and disposal of long-lived assets were $0.1
billion.
Dividends and Share Buybacks
The Company's continued strong cash generation and financial
flexibility provide the opportunity to continue to return cash to
shareholders, while at the same time investing in the business and
delivering on CRH's strategic growth initiatives.
In line with the Company's policy of consistent long-term
dividend growth and supported by its strong financial position, the
Board approved dividends totaling $1.40 per share in 2024, a 5%
increase on the prior year (2023: $1.33). The Board has also
declared a new quarterly dividend of $0.37 per share, representing
an annualized increase of 6% on 2024. The dividend will be paid
wholly in cash on April 16, 2025, to shareholders registered at the
close of business on March 14, 2025. The ex-dividend date will be
March 14, 2025.
As part of the Company's ongoing share buyback program, CRH
repurchased approximately 15.9 million ordinary shares in 2024 for
a total consideration of $1.3 billion. On February 26, 2025, the
latest tranche of the share buyback program was completed. The
Company is commencing an additional $0.3 billion tranche to be
completed no later than May 2, 2025.
Innovation and Sustainability
CRH is committed to driving profitable growth by providing its
customers with innovative solutions that support the transition to
a more sustainable built environment. The Company's focus on
continuous innovation will better position CRH to respond to the
changing needs of its customers, accelerate and scale new
technologies and drive a positive impact across three global
challenges of water, circularity and decarbonization. CRH continues
to enhance its capabilities to meet these opportunities and
challenges through investment in new technologies, such as FIDO AI,
the artificial intelligence leak detection software company, as
well as new partnerships through the CRH Ventures Accelerator
programs. Through these efforts, CRH continues to develop and
deliver innovative solutions for its customers while making
progress on its industry-leading target to deliver a 30% reduction
in absolute carbon emissions by 2030.
2025 Full Year Outlook
We expect positive underlying demand across our key end-use
markets in 2025, underpinned by significant public investment in
critical infrastructure, combined with increased
re-industrialization activity in key non-residential segments. This
backdrop is expected to support overall demand levels and further
positive pricing across our business.
Our North American businesses expect continued positive momentum
in infrastructure activity, supported by robust state and federal
funding. Non-residential activity continues to benefit from secular
tailwinds in key growth areas. Although the residential sector
continues to be supported by strong long-term demand fundamentals,
the new-build segment is expected to remain subdued while repair
and remodel activity remains resilient.
In our International operations, we expect infrastructure
activity to be underpinned by government and EU funding.
Non-residential construction continues to be aided by onshoring of
supply chains and industrial manufacturing activity. Residential
markets are expected to stabilize with structural demand
fundamentals supporting a gradual recovery.
Assuming normal seasonal weather patterns and absent any major
dislocations in the political or macroeconomic environment, CRH’s
leading positions of scale in attractive higher-growth markets,
together with our strong and flexible balance sheet, are expected
to underpin another year of growth and value creation in 2025.
2025 Guidance (i)
(in $ billions, except per share
data)
Low
High
Net income (ii)
3.7
4.1
Adjusted EBITDA*
7.3
7.7
Diluted EPS (ii)
$5.34
$5.80
Capital expenditure
2.8
3
(i) The 2025 guidance does not assume any
significant one-off or non-recurring items, including the impact of
potential tariffs, impairments or other unforeseen events.
(ii) 2025 net income and diluted EPS are
based on approximately $0.6 billion interest expense, net,
effective tax rate of approximately 23% and a year-to-date average
of approximately 683 million diluted common shares outstanding.
Americas Materials Solutions
Three months ended December 31, 2024
Analysis of Change
in $ millions
Q4 2023
Currency
Acquisitions
Divestitures
Organic
Q4 2024
% change
Total revenues
4,296
(10)
+215
(34)
(201)
4,266
(1%)
Adjusted EBITDA
875
(3)
+52
(14)
+143
1,053
+20%
Adjusted EBITDA margin
20.4%
24.7%
Americas Materials Solutions’ total revenues were 1% behind the
fourth quarter of 2023, as continued positive pricing and
contributions from acquisitions were offset by lower volumes due to
adverse weather in certain regions. Organic total revenues* were 5%
behind the prior year period.
In Essential Materials, total revenues were in line with the
prior year, with good pricing momentum and contributions from
acquisitions offset by lower aggregates volumes. Prices in
aggregates and cement were ahead by 7% and 8%, respectively.
Weather-impacted aggregates volumes declined by 9% while cement
volumes increased by 3%, supported by acquisitions.
In Road Solutions, total revenues were 1% behind the prior year,
as reduced activity levels due to challenging weather offset
improved pricing across all lines of business and ongoing state and
federal funding support. Paving and construction revenues decreased
by 1% with positive growth in the South region offset by lower
activity in weather-impacted regions. Asphalt prices increased by
3% and volumes decreased by 8%, while readymixed concrete prices
increased by 3% and volumes were flat.
Fourth quarter 2024 Adjusted EBITDA for Americas Materials
Solutions of $1.1 billion was 20% ahead of the prior year driven by
commercial progress, disciplined cost management and operational
efficiencies. Organic Adjusted EBITDA* was 16% ahead of the fourth
quarter of 2023. Adjusted EBITDA margin increased by 430bps.
Year ended December 31, 2024
Analysis of Change
in $ millions
2023
Currency
Acquisitions
Divestitures
Organic
2024
% change
Total revenues
15,435
(22)
+641
(112)
+231
16,173
+5%
Adjusted EBITDA
3,059
(6)
+180
(36)
+548
3,745
+22%
Adjusted EBITDA margin
19.8%
23.2%
Americas Materials Solutions’ total revenues were 5% ahead of
the prior year as price increases and contributions from
acquisitions offset lower activity levels which were impacted by
adverse weather. Organic total revenues* were 1% ahead.
In Essential Materials, total revenues were 5% ahead of the
prior year, supported by aggregates and cement pricing, which were
ahead by 10% and 8%, respectively. Aggregates volumes declined by
3% while cement volumes increased by 1% compared to 2023.
In Road Solutions, total revenues increased by 5% driven by
pricing progression and sustained activity levels through continued
state and federal funding support. Asphalt prices increased by 3%
while volumes, impacted by weather, declined 2% against 2023.
Paving and construction revenues increased 5% versus the prior
year. Readymixed concrete pricing was 6% higher than the prior
year, while volumes were 1% ahead.
Adjusted EBITDA for Americas Materials Solutions of $3.7 billion
was 22% ahead of the prior year with growth across all regions.
Positive pricing, disciplined cost management and operational
efficiencies along with gains on land asset sales offset lower
volumes in certain markets. Organic Adjusted EBITDA* was 18% ahead
of 2023. Adjusted EBITDA margin increased by 340bps.
Americas Building Solutions
Three months ended December 31, 2024
Analysis of Change
in $ millions
Q4 2023
Currency
Acquisitions
Divestitures
Organic
Q4 2024
% change
Total revenues
1,470
–
+49
–
(26)
1,493
+2%
Adjusted EBITDA
276
(1)
+6
–
(31)
250
(9%)
Adjusted EBITDA margin
18.8%
16.7%
Americas Building Solutions' total revenues were 2% ahead of the
fourth quarter of 2023, as increased demand in Building &
Infrastructure Solutions and contributions from acquisitions offset
adverse weather impacts. Organic total revenues* were 2% behind the
prior year period.
In Building & Infrastructure Solutions, total revenues were
8% ahead of Q4 2023, supported by increased demand in energy and
water markets.
In Outdoor Living Solutions, total revenues were 3% behind the
prior year period as demand was impacted by adverse weather.
Adjusted EBITDA for Americas Building Solutions was 9% behind
the fourth quarter of 2023 and 11% behind on an organic* basis as
adverse winter weather impacted results. Adjusted EBITDA margin was
210bps behind the prior year period.
Year ended December 31, 2024
Analysis of Change
in $ millions
2023
Currency
Acquisitions
Divestitures
Organic
2024
% change
Total revenues
7,017
(4)
+193
–
(147)
7,059
+1%
Adjusted EBITDA
1,442
(2)
+34
–
(85)
1,389
(4%)
Adjusted EBITDA margin
20.6%
19.7%
In 2024, Americas Building Solutions' total revenues were 1%
ahead of the prior year as positive contributions from acquisitions
were partially offset by subdued new-build residential demand and
adverse weather. Organic total revenues* were 2% behind the prior
year.
In Building & Infrastructure Solutions, total revenues were
2% ahead of the prior year as contributions from acquisitions
offset lower activity levels due to adverse weather conditions and
subdued new-build residential demand.
In Outdoor Living Solutions, total revenues were flat compared
with 2023 as unfavorable weather conditions offset increased sales
into the retail channel.
Adjusted EBITDA for Americas Building Solutions was 4% behind
2023 and 6% behind on an organic* basis as adverse weather and
subdued new-build residential demand impacted performance. Adjusted
EBITDA margin was 90bps behind the prior year.
International Solutions
Three months ended December 31, 2024
Analysis of Change
in $ millions
Q4 2023
Currency
Acquisitions
Divestitures
Organic
Q4 2024
% change
Total revenues
2,919
+16
+371
(160)
(35)
3,111
+7%
Adjusted EBITDA
435
+3
+35
(42)
+42
473
+9%
Adjusted EBITDA margin
14.9%
15.2%
International Solutions’ total revenues were 7% ahead of the
fourth quarter of 2023. Organic total revenues* were 1% behind as
continued pricing progress and volume growth in Central and Eastern
Europe were offset by lower activity in Western Europe, coupled
with continued subdued new-build residential activity within
Building & Infrastructure Solutions and Outdoor Living
Solutions.
In Essential Materials, total revenues were 9% ahead of the
comparable period in 2023 with strong aggregates and cement volumes
as well as positive pricing and contributions from acquisitions.
Aggregates volumes were 15% ahead while cement volumes were 18%
ahead of the comparable period in 2023. Aggregates pricing was 6%
ahead and cement pricing was 4% ahead of Q4 2023.
In Road Solutions, revenues were 9% ahead of the comparable
period in 2023, with volumes and prices in the readymixed concrete
business ahead of 2023 by 26% and 7%, respectively, benefiting from
contributions from acquisitions as well as higher activity levels
in Central and Eastern Europe. Asphalt volumes increased by 8%
while pricing declined by 4% with paving and construction revenues
impacted by lower activity levels in Western Europe.
Within Building & Infrastructure Solutions and Outdoor
Living Solutions, total revenues were 2% behind the comparable
period in 2023 as increased pricing was offset by lower activity
levels.
Adjusted EBITDA in International Solutions was $0.5 billion, 9%
ahead of the fourth quarter of 2023, and 10% ahead on an organic*
basis, primarily driven by increased pricing, lower energy costs
and operational efficiencies. Adjusted EBITDA margin increased by
30bps compared to the prior year period.
Year ended December 31, 2024
Analysis of Change
in $ millions
2023
Currency
Acquisitions
Divestitures
Organic
2024
% change
Total revenues
12,497
+141
+808
(542)
(564)
12,340
(1%)
Adjusted EBITDA
1,675
+17
+100
(136)
+140
1,796
+7%
Adjusted EBITDA margin
13.4%
14.6%
International Solutions’ total revenues were 1% behind the prior
year. Organic total revenues* were 4% behind as positive pricing
momentum and good volume growth in Central and Eastern Europe were
offset by lower volumes in Western Europe as well as lower trading
activities in the Building & Infrastructure Solutions and
Outdoor Living Solutions businesses.
In Essential Materials, total revenues were 2% behind as
continued pricing progress and contributions from acquisitions were
offset by the divestiture of the European Lime operations.
Aggregates volumes were 3% ahead of 2023 with cement volumes 5%
ahead, supported by good growth in Central and Eastern Europe as
well as recent acquisitions. Aggregates pricing was 4% ahead and
overall cement pricing was 3% ahead of 2023.
In Road Solutions, total revenues were 2% ahead of 2023. Volumes
and prices were ahead in the readymixed concrete business by 8% and
3%, respectively, benefiting from volume growth in Central and
Eastern Europe as well as acquisitions in the period. Asphalt
volumes and pricing declined 2% and 1%, respectively. Paving and
construction revenues were behind 2023 due to lower activity levels
in Western Europe.
Total revenues in Building & Infrastructure Solutions and
Outdoor Living Solutions declined by 6% compared with the prior
year, amid continued subdued new-build residential activity.
Adjusted EBITDA in International Solutions was $1.8 billion, 7%
ahead of 2023, and 8% ahead on an organic* basis, primarily driven
by increased pricing, lower energy costs and operational
efficiencies. Adjusted EBITDA margin increased by 120bps compared
with 2023.
Other Financial Items
Depreciation, depletion and amortization charges for the year
ended December 31, 2024 of $1.8 billion were higher than the prior
year (2023: $1.6 billion), primarily due to the impact of
acquisitions.
Arising from CRH’s annual impairment testing process, non-cash
impairment charges of $0.35 billion were recognized in 2024 (2023:
$0.36 billion). These principally resulted from challenging market
conditions in the Architectural Products reporting unit within
International Solutions and the equity method investment in
China.
Gain on disposal of long-lived assets of $237 million was higher
than 2023 (2023: $66 million), mainly related to the disposal of
certain land assets.
Interest income of $143 million (2023: $206 million) was lower
than 2023 primarily due to a lower level of cash deposits. Interest
expense of $612 million (2023: $376 million) was higher than the
prior year primarily due to an increase in gross debt balances and
increased interest rates.
Other nonoperating income (expense), net, was an income of $258
million (2023: $2 million expense), primarily related to gains on
divestitures.
Income before income tax expense and income from equity method
investments was $4.7 billion (2023: $4.0 billion), and the
associated tax charge of $1.1 billion (2023: $0.9 billion)
represented an effective tax rate of 23%, in line with the prior
year (2023: 23%).
Basic earnings per share was 16% higher than 2023 at $5.06
(2023: $4.36) due to a positive operating performance, higher gains
on disposal of long-lived assets and on divestitures as well as
reduced share count as a result of the ongoing share buyback
program. Basic earnings per share pre-impairment* of $5.48 was 18%
higher than the prior year (2023: $4.65).
Balance Sheet and Liquidity
2024 marked another year of strong cash generation for CRH with
net cash provided by operating activities of $5.0 billion, in line
with the prior year (2023: $5.0 billion), as higher income from
operations was offset by working capital outflows.
Total short-term and long-term debt was $14.0 billion at
December 31, 2024 ($11.6 billion at December 31, 2023). During
2024, a net $0.5 billion of commercial paper was issued across the
U.S. Dollar and Euro Commercial Paper Programs. In January 2024,
€600 million of euro-denominated notes were repaid on maturity. In
May 2024, the Company issued $750 million in 5.20% notes due in
2029 and $750 million in 5.40% notes due in 2034. In July 2024, as
part of the Adbri acquisition, $0.5 billion of external debt was
acquired. In December 2024, the Company agreed and drew down a $750
million two-year term loan at a fixed rate of 4.91%.
Net Debt* at December 31, 2024 was $10.5 billion, compared to
$5.4 billion at December 31, 2023. This increase reflects
acquisitions, cash returns to shareholders through dividends and
share buybacks, as well as the purchase of property, plant and
equipment, partially offset by inflows from operating activities
and proceeds from divestitures.
CRH ended 2024 with $3.8 billion of cash and cash equivalents
and restricted cash (2023: $6.4 billion) as well as $3.8 billion of
undrawn committed facilities which are available until 2029. At
year end, the weighted average maturity of the term debt (net of
cash and cash equivalents) was 7.5 years. CRH also has a $4.0
billion U.S. Dollar Commercial Paper Program and a €1.5 billion
Euro Commercial Paper Program available. As of December 31, 2024
there was $1.2 billion of outstanding issued notes under the U.S.
Dollar Commercial Paper Program and $0.3 billion of outstanding
issued notes under the Euro Commercial Paper Program. CRH remains
committed to maintaining its robust balance sheet and expects to
maintain a strong investment-grade credit rating with a BBB+ or
equivalent rating with each of the three main rating agencies.
Conference Call
CRH will host a conference call and webcast presentation at 8:00
a.m. (EST) on Thursday, February 27, 2025 to discuss the 2024
results and 2025 outlook. Registration details are available on
www.crh.com/investors. Upon registration, a link to join the call
and dial-in details will be made available. The accompanying
investor presentation will be available on the investor section of
the CRH website in advance of the conference call, while a
recording of the conference call will be made available
afterwards.
Dividend Timetable
The timetable for payment of the quarterly dividend of $0.37 per
share is as follows:
Ex-dividend Date:
March 14, 2025
Record Date:
March 14, 2025
Payment Date:
April 16, 2025
The default payment currency is U.S. Dollar for shareholders who
hold their ordinary shares through a Depository Trust Company (DTC)
participant. It is also U.S. Dollar for shareholders holding their
ordinary shares in registered form, unless a currency election has
been registered with CRH’s Transfer Agent, Computershare Trust
Company N.A. by 5:00 p.m. (EDT)/9:00 p.m. (GMT) on March 14,
2025.
The default payment currency for shareholders holding their
ordinary shares in the form of Depository Interests is euro. Such
shareholders can elect to receive the dividend in U.S. Dollar or
Pounds Sterling by providing their instructions to the Company’s
Depositary Interest provider, Computershare Investor Services plc,
by 12:00 p.m. (EDT)/4:00 p.m. (GMT) on March 18, 2025.
Appendices
Appendix 1 - Primary Statements
The following financial statements are an extract of the
Company’s Consolidated Financial Statements prepared in accordance
with U.S. GAAP for the three months and the year ended December 31,
2024 and do not present all necessary information for a complete
understanding of the Company's financial condition as of December
31, 2024. The full Consolidated Financial Statements prepared in
accordance with U.S. GAAP for the year ended December 31, 2024,
including notes thereto, will be included in the Company’s Annual
Report on Form 10-K filed with the U.S. Securities and Exchange
Commission (SEC).
Consolidated Statements of Income
(in $ millions, except share and per share
data)
Three months ended
Year ended
December 31
December 31
2024
2023
2024
2023
Product revenues
6,541
6,230
26,699
26,156
Service revenues
2,329
2,455
8,873
8,793
Total revenues
8,870
8,685
35,572
34,949
Cost of product revenues
(3,641)
(3,456)
(14,651)
(14,741)
Cost of service revenues
(2,069)
(2,278)
(8,220)
(8,245)
Total cost of revenues
(5,710)
(5,734)
(22,871)
(22,986)
Gross profit
3,160
2,951
12,701
11,963
Selling, general and administrative
expenses
(1,933)
(1,839)
(7,852)
(7,486)
Gain on disposal of long-lived assets
38
28
237
66
Loss on impairments
(161)
(357)
(161)
(357)
Operating income
1,104
783
4,925
4,186
Interest income
31
68
143
206
Interest expense
(160)
(91)
(612)
(376)
Other nonoperating income (expense),
net
12
(5)
258
(2)
Income before income tax expense and
income from equity method investments
987
755
4,714
4,014
Income tax expense
(143)
(144)
(1,085)
(925)
Loss from equity method investments
(135)
(38)
(108)
(17)
Net income
709
573
3,521
3,072
Net (income) attributable to redeemable
noncontrolling interests
(7)
(7)
(28)
(28)
Net loss (income) attributable to
noncontrolling interests
1
135
(1)
134
Net income attributable to CRH
703
701
3,492
3,178
Earnings per share attributable to
CRH
Basic
$1.03
$0.99
$5.06
$4.36
Diluted
$1.02
$0.99
$5.02
$4.33
Weighted average common shares
outstanding
Basic
678.4
700.5
683.3
723.9
Diluted
683.7
705.3
689.5
729.2
Consolidated Balance Sheets
(in $ millions, except share data)
At December 31
2024
2023
Assets
Current assets:
Cash and cash equivalents
3,720
6,341
Restricted cash
39
–
Accounts receivable, net
4,820
4,507
Inventories
4,755
4,291
Assets held for sale
–
1,268
Other current assets
749
478
Total current assets
14,083
16,885
Property, plant and equipment, net
21,452
17,841
Equity method investments
737
620
Goodwill
11,061
9,158
Intangible assets, net
1,211
1,041
Operating lease right-of-use assets,
net
1,274
1,292
Other noncurrent assets
795
632
Total assets
50,613
47,469
Liabilities, redeemable noncontrolling
interests and shareholders’ equity
Current liabilities:
Accounts payable
3,207
3,149
Accrued expenses
2,248
2,296
Current portion of long-term debt
2,999
1,866
Operating lease liabilities
265
255
Liabilities held for sale
–
375
Other current liabilities
1,577
2,072
Total current liabilities
10,296
10,013
Long-term debt
10,969
9,776
Deferred income tax liabilities
3,105
2,738
Noncurrent operating lease liabilities
1,074
1,125
Other noncurrent liabilities
2,319
2,196
Total liabilities
27,763
25,848
Commitments and contingencies
Redeemable noncontrolling interests
384
333
Shareholders’ equity
Preferred stock, €1.27 par value, 150,000
shares authorized and 50,000 shares issued and outstanding for 5%
preferred stock and 872,000 shares authorized, issued and
outstanding for 7% 'A' preferred stock, as of December 31, 2024,
and December 31, 2023
1
1
Common stock, €0.32 par value,
1,250,000,000 shares authorized; 718,647,277 and 734,519,598 shares
issued and outstanding, as of December 31, 2024, and December 31,
2023, respectively
290
296
Treasury stock, at cost (41,355,384 and
42,419,281 shares as of December 31, 2024, and December 31, 2023,
respectively)
(2,137)
(2,199)
Additional paid-in capital
422
454
Accumulated other comprehensive loss
(1,005)
(616)
Retained earnings
24,036
22,918
Total shareholders’ equity attributable
to CRH shareholders
21,607
20,854
Noncontrolling interests
859
434
Total equity
22,466
21,288
Total liabilities, redeemable
noncontrolling interests and equity
50,613
47,469
Consolidated Statements of Cash Flows
(in $ millions)
For the years ended December 31
2024
2023
Cash Flows from Operating
Activities:
Net income
3,521
3,072
Adjustments to reconcile net income to net
cash provided by operating activities:
Depreciation, depletion and
amortization
1,798
1,633
Loss on impairments
161
357
Share-based compensation
125
123
Gains on disposals from discontinued
operations, businesses and long-lived assets, net
(431)
(66)
Deferred tax expense (benefit)
180
(64)
Loss from equity method investments
108
17
Pension and other postretirement benefits
net periodic benefit cost
34
31
Non-cash operating lease costs
262
293
Other items, net
14
68
Changes in operating assets and
liabilities, net of effects of acquisitions and divestitures:
Accounts receivable, net
(122)
(164)
Inventories
(224)
(60)
Accounts payable
48
144
Operating lease liabilities
(287)
(276)
Other assets
(69)
25
Other liabilities
(86)
(72)
Pension and other postretirement benefits
contributions
(43)
(44)
Net cash provided by operating
activities
4,989
5,017
Cash Flows from Investing
Activities:
Purchases of property, plant and
equipment, and intangibles
(2,578)
(1,817)
Acquisitions, net of cash acquired
(4,900)
(640)
Proceeds from divestitures
1,001
–
Proceeds from disposal of long-lived
assets
272
104
Dividends received from equity method
investments
44
44
Settlements of derivatives
(9)
(1)
Deferred divestiture consideration
received
83
6
Other investing activities, net
(204)
(87)
Net cash used in investing
activities
(6,291)
(2,391)
Consolidated Statements of Cash Flows
(in $ millions)
For the years ended December 31
2024
2023
Cash Flows from Financing
Activities:
Proceeds from debt issuances
4,001
3,163
Payments on debt
(1,859)
(1,462)
Settlements of derivatives
(36)
7
Payments of finance lease obligations
(57)
(26)
Deferred and contingent acquisition
consideration paid
(21)
(22)
Dividends paid
(1,706)
(940)
Distributions to noncontrolling and
redeemable noncontrolling interests
(53)
(35)
Transactions involving noncontrolling
interests
19
(2)
Repurchases of common stock
(1,482)
(3,067)
Proceeds from exercise of stock
options
8
4
Net cash used in financing
activities
(1,186)
(2,380)
Effect of exchange rate changes on cash
and cash equivalents, including restricted cash
(143)
208
(Decrease)/increase in cash and cash
equivalents, including restricted cash
(2,631)
454
Cash and cash equivalents and restricted
cash at the beginning of year
6,390
5,936
Cash and cash equivalents and
restricted cash at the end of year
3,759
6,390
Supplemental cash flow
information:
Cash paid for interest (including finance
leases)
599
418
Cash paid for income taxes
960
959
Reconciliation of cash and cash
equivalents and restricted cash
Cash and cash equivalents presented in the
Consolidated Balance Sheets
3,720
6,341
Restricted cash presented in the
Consolidated Balance Sheets
39
–
Cash and cash equivalents included in
Assets held for sale
–
49
Total cash and cash equivalents and
restricted cash presented in the Consolidated Statements of Cash
Flows
3,759
6,390
The financial information presented in this report does not
constitute the statutory financial statements for the purposes of
Chapter 4 of Part 6 of the Companies Act 2014. Full statutory
financial statements for the year ended December 31, 2024 prepared
in accordance with International Financial Reporting Standards
(IFRS), upon which the Auditor has given an unqualified audit
report, have not yet been filed with the Registrar of Companies.
Full statutory financial statements for the year ended December 31,
2023, prepared in accordance with IFRS and containing an
unqualified audit report, have been delivered to the Registrar of
Companies.
Appendix 2 - Non-GAAP Reconciliation and Supplementary
Information
CRH uses a number of non-GAAP performance measures to monitor
financial performance. These measures are referred to throughout
the discussion of our reported financial position and operating
performance on a continuing operations basis unless otherwise
defined and are measures which are regularly reviewed by CRH
management. These performance measures may not be uniformly defined
by all companies and accordingly may not be directly comparable
with similarly titled measures and disclosures by other
companies.
Certain information presented is derived from amounts calculated
in accordance with U.S. GAAP but is not itself an expressly
permitted GAAP measure. The non-GAAP performance measures as
summarized below should not be viewed in isolation or as an
alternative to the equivalent GAAP measure.
Adjusted EBITDA: Adjusted EBITDA is defined as earnings
from continuing operations before interest, taxes, depreciation,
depletion, amortization, loss on impairments, gain/loss on
divestitures and unrealized gain/loss on investments, income/loss
from equity method investments, substantial acquisition-related
costs and pension expense/income excluding current service cost
component. It is quoted by management in conjunction with other
GAAP and non-GAAP financial measures to aid investors in their
analysis of the performance of the Company. Adjusted EBITDA by
segment is monitored by management in order to allocate resources
between segments and to assess performance. Adjusted EBITDA
margin is calculated by expressing Adjusted EBITDA as a
percentage of total revenues.
Reconciliation to its nearest GAAP measure is presented
below:
Three months ended December
31
Year ended December 31
in $ millions
2024
2023
2024
2023
Net income
709
573
3,521
3,072
Loss from equity method investments
(i)
135
38
108
17
Income tax expense
143
144
1,085
925
Gain on divestitures and unrealized gains
on investments (ii)
(8)
–
(250)
–
Pension income excluding current service
cost component (ii)
(4)
–
(7)
(3)
Other interest, net (ii)
–
5
(1)
5
Interest expense
160
91
612
376
Interest income
(31)
(68)
(143)
(206)
Depreciation, depletion and
amortization
510
446
1,798
1,633
Loss on impairments (i)
161
357
161
357
Substantial acquisition-related costs
(iii)
1
–
46
–
Adjusted EBITDA
1,776
1,586
6,930
6,176
Total revenues
8,870
8,685
35,572
34,949
Net income margin
8.0%
6.6%
9.9%
8.8%
Adjusted EBITDA margin
20.0%
18.3%
19.5%
17.7%
(i) For the year ended December 31, 2024,
the total impairment loss comprised $0.35 billion, principally
related to the Architectural Products reporting unit within
International Solutions and the equity method investment in China.
For the year ended December 31, 2023, the total impairment loss
comprised $62 million within Americas Materials Solutions and $295
million within International Solutions.
(ii) Gain on divestitures and unrealized
gains on investments, pension income excluding current service cost
component and other interest, net have been included in Other
nonoperating (expense) income, net in the Consolidated Statements
of Income in Item 8. “Financial Statements and Supplementary Data”
in the Annual Report on Form 10-K.
(iii) Represents expenses associated with
non-routine substantial acquisitions, which meet the criteria for
being separately reported in Note 4 “Acquisitions” in Item 8.
“Financial Statements and Supplementary Data” in the Annual Report
on Form 10-K. Expenses in 2024 primarily include legal and
consulting expenses related to these non-routine substantial
acquisitions.
Adjusted EBITDA is not defined by GAAP and should not be
considered as an alternative to earnings measures defined by GAAP.
Reconciliation to its nearest GAAP measure for the mid-point of the
2025 Adjusted EBITDA guidance is presented below:
in $ billions
2025
Mid-Point
Net income
3.9
Income tax expense
1.1
Interest expense, net
0.6
Depreciation, depletion and
amortization
1.9
Adjusted EBITDA
7.5
Return on Net Assets (RONA): Return on Net Assets is a
key internal pre-tax and pre-impairment (which is non-cash) measure
of operating performance throughout the Company and can be used by
management and investors to measure the relative use of assets
between CRH’s segments. The metric measures management’s ability to
generate income from the net assets required to support that
business, focusing on both profit maximization and the maintenance
of an efficient asset base; it encourages effective fixed asset
maintenance programs, good decisions regarding expenditure on
property, plant and equipment and the timely disposal of surplus
assets. It also supports the effective management of the Company’s
working capital base. RONA is calculated by expressing operating
income from continuing operations and operating income from
discontinued operations excluding loss on impairments (which is
non-cash) as a percentage of average net assets. Net assets
comprise total assets by segment (including assets held for sale)
less total liabilities by segment (excluding finance lease
liabilities and including liabilities associated with assets
classified as held for sale) as shown below and detailed in Note 3
“Assets held for sale and discontinued operations” in Item 8.
“Financial Statements and Supplementary Data” in the Annual Report
on Form 10-K and excludes equity method investments and other
financial assets, Net Debt (as defined below) and tax assets and
liabilities. The average net assets for the year is the simple
average of the opening and closing balance sheet figures.
Reconciliation to its nearest GAAP measure is presented
below:
in $ millions
2024
2023
Operating income
A
4,925
4,186
Adjusted for loss on impairments (i)
161
357
Numerator for RONA computation
5,086
4,543
Current year
Segment assets (ii)
45,534
38,868
Segment liabilities (ii)
(9,771)
(10,169)
B
35,763
28,699
Finance lease liabilities
257
117
36,020
28,816
Assets held for sale (iii)
–
1,268
Liabilities associated with assets
classified as held for sale (iii)
–
(375)
36,020
29,709
Prior year
Segment assets (ii)
38,868
38,504
Segment liabilities (ii)
(10,169)
(8,883)
C
28,699
29,621
Finance lease liabilities
117
81
28,816
29,702
Assets held for sale (iii)
1,268
–
Liabilities associated with assets
classified as held for sale (iii)
(375)
–
29,709
29,702
Denominator for RONA computation -
average net assets
32,865
29,706
Return on net segment assets (A divided
by average of B and C)
15.3%
14.4%
RONA
15.5%
15.3%
Total assets as reported in the
Consolidated Balance Sheets
50,613
47,469
Total liabilities as reported in the
Consolidated Balance Sheets
27,763
25,848
(i) Operating income is adjusted for loss
on impairments. For the year ended December 31, 2024, the total
impairment loss comprised $161 million within International
Solutions. For the year ended December 31, 2023, the total
impairment loss comprised $62 million within Americas Materials
Solutions and $295 million within International Solutions.
(ii) Segment assets and liabilities as
disclosed in Note 20 “Segment Information” in Item 8. “Financial
Statements and Supplementary Data” in the Annual Report on Form
10-K.
(iii) Assets held for sale and liabilities
associated with assets classified as held for sale as disclosed in
Note 3 “Assets held for sale and discontinued operations” in Item
8. “Financial Statements and Supplementary Data” in the Annual
Report on Form 10-K.
Net Debt: Net Debt is used by management as it gives
additional insight into the Company’s current debt position less
available cash. Net Debt is provided to enable investors to see the
economic effect of gross debt, related hedges and cash and cash
equivalents in total. Net Debt comprises short and long-term debt,
finance lease liabilities, cash and cash equivalents and current
and noncurrent derivative financial instruments (net).
Reconciliation to its nearest GAAP measure is presented
below:
in $ millions
2024
2023
Short and long-term debt
(13,968)
(11,642)
Cash and cash equivalents (i)
3,720
6,390
Finance lease liabilities
(257)
(117)
Derivative financial instruments (net)
(27)
(37)
Net Debt
(10,532)
(5,406)
(i) 2023 includes $49 million cash and
cash equivalents reclassified as held for sale.
Organic Revenue and Organic Adjusted EBITDA: Because of
the impact of acquisitions, divestitures, currency exchange
translation and other non-recurring items on reported results each
year, CRH uses organic revenue and organic Adjusted EBITDA as
additional performance indicators to assess performance of
pre-existing (also referred to as underlying, like-for-like or
ongoing) operations each year.
Organic revenue and organic Adjusted EBITDA are arrived at by
excluding the incremental revenue and Adjusted EBITDA contributions
from current and prior year acquisitions and divestitures, the
impact of exchange translation, and the impact of any one-off
items. Changes in organic revenue and organic Adjusted EBITDA are
presented as additional measures of revenue and Adjusted EBITDA to
provide a greater understanding of the performance of the Company.
Organic change % is calculated by expressing the organic movement
as a percentage of the prior year (adjusted for currency exchange
effects). A reconciliation of the changes in organic revenue and
organic Adjusted EBITDA to the changes in total revenues and
Adjusted EBITDA by segment, is presented with the discussion within
each segment’s performance in tables contained in the segment
discussion commencing on page 4.
Basic EPS pre‑impairment: Basic EPS pre-impairment is a
measure of the Company's profitability per share from continuing
operations excluding any loss on impairments (which is non-cash)
and the related tax impact of such impairments. It is used by
management to evaluate the Company's underlying profit performance
and its own past performance. Basic EPS information presented on a
pre-impairment basis is useful to investors as it provides an
insight into the Company's underlying performance and
profitability. Basic EPS pre-impairment is calculated as income
from continuing operations adjusted for (i) net (income)
attributable to redeemable noncontrolling interests (ii) net loss
(income) attributable to noncontrolling interests (iii) adjustment
of redeemable noncontrolling interests to redemption value and
excluding any loss on impairments (and the related tax impact of
such impairments) divided by the weighted average number of common
shares outstanding for the year.
Reconciliation to its nearest GAAP measure is presented
below:
in $ millions, except share and per
share data
Q4 2024
Per Share - basic
Q4 2023
Per Share - basic
2024
Per Share - basic
2023
Per Share - basic
Weighted average common shares outstanding
– basic
678.4
700.5
683.3
723.9
Net income
709
$1.05
573
$0.82
3,521
$5.15
3,072
$4.24
Net (income) attributable to redeemable
noncontrolling interests
(7)
($0.01)
(7)
($0.01)
(28)
($0.04)
(28)
($0.04)
Net loss (income) attributable to
noncontrolling interests
1
–
135
$0.19
(1)
–
134
$0.19
Adjustment of redeemable noncontrolling
interests to redemption value
(4)
($0.01)
(6)
($0.01)
(34)
($0.05)
(24)
($0.03)
Net Income for EPS
699
$1.03
695
$0.99
3,458
$5.06
3,154
$4.36
Impairment of property, plant and
equipment and intangible assets
161
$0.24
224
$0.32
161
$0.24
224
$0.30
Tax related to impairment charges
(26)
($0.04)
(9)
($0.01)
(26)
($0.04)
(9)
($0.01)
Impairment of equity method investments
(net of tax)
151
$0.22
–
–
151
$0.22
–
–
Net income for EPS – pre-impairment
(i)
985
$1.45
910
$1.30
3,744
$5.48
3,369
$4.65
(i) Reflective of CRH’s share of
impairment of property, plant and equipment and intangible assets
(2024: $161 million; 2023: $224 million), an impairment of equity
method investments (2024: $190 million; 2023: $nil million) and
related tax effect.
Appendix 3 - Disclaimer/Forward-Looking Statements
In order to utilize the “Safe Harbor” provisions of the United
States Private Securities Litigation Reform Act of 1995, CRH plc is
providing the following cautionary statement.
This document contains statements that are, or may be deemed to
be, forward-looking statements with respect to the financial
condition, results of operations, business, viability and future
performance of CRH and certain of the plans and objectives of CRH.
These forward-looking statements may generally, but not always, be
identified by the use of words such as “will”, “anticipates”,
“should”, “could”, “would”, “targets”, “aims”, “may”, “continues”,
“expects”, “is expected to”, “estimates”, “believes”, “intends” or
similar expressions. These forward-looking statements include all
matters that are not historical facts or matters of fact at the
date of this document.
In particular, the following, among other statements, are all
forward-looking in nature: plans and expectations regarding
customer demand, pricing, costs, underlying drivers for growth in
infrastructure, residential and non-residential markets,
macroeconomic and market trends in regions where CRH operates, and
investments in manufacturing and clean energy initiatives; plans
and expectations regarding government funding initiatives and
priorities; plans and expectations regarding CRH’s decarbonization
targets and sustainability initiatives; plans and expectations
regarding return of cash to shareholders, including the timing and
amount of share buybacks and dividends; plans and expectations
related to growth opportunities, strategic growth initiatives and
value creation; plans and expectations regarding capital
expenditures and capital allocation, net income, Adjusted EBITDA,
earnings per share and its growth, effective tax rate, interest
expense and CRH’s 2025 full year performance; plans and
expectations regarding CRH’s ability to meet its upcoming debt
obligations, CRH’s balance sheet and investment-grade credit
rating; and plans and expectations regarding the timing of
completion of and expected benefits from acquisitions and
divestitures.
By their nature, forward-looking statements involve risk and
uncertainty because they relate to events and depend on
circumstances that may or may not occur in the future and reflect
the Company’s current expectations and assumptions as to such
future events and circumstances that may not prove accurate. You
are cautioned not to place undue reliance on any forward-looking
statements. These forward-looking statements are made as of the
date of this document. The Company expressly disclaims any
obligation or undertaking to publicly update or revise these
forward-looking statements other than as required by applicable
law.
A number of material factors could cause actual results and
developments to differ materially from those expressed or implied
by these forward-looking statements, certain of which are beyond
our control, and which include, among other factors: economic and
financial conditions, including changes in interest rates,
inflation, price volatility and/or labor and materials shortages;
demand for infrastructure, residential and non-residential
construction and our products in geographic markets in which we
operate; increased competition and its impact on prices and market
position; increases in energy, labor and/or other raw materials
costs; adverse changes to laws and regulations, including in
relation to climate change; the impact of unfavorable weather;
investor and/or consumer sentiment regarding the importance of
sustainable practices and products; availability of public sector
funding for infrastructure programs; political uncertainty,
including as a result of political and social conditions in the
jurisdictions CRH operates in, or adverse political developments,
including the ongoing geopolitical conflicts in Ukraine and the
Middle East; failure to complete or successfully integrate
acquisitions or make timely divestments; cyber-attacks and exposure
of associates, contractors, customers, suppliers and other
individuals to health and safety risks, including due to product
failures. Additional factors, risks and uncertainties that could
cause actual outcomes and results to be materially different from
those expressed by the forward-looking statements in this report
include the risks and uncertainties described under “Risk Factors”
in CRH’s Annual Report on Form 10-K for the period ended December
31, 2024 as filed with the SEC and CRH's other filings with the
SEC.
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