10-KPeriod: FY2011

CRH PUBLIC LTD CO Annual Report, Year Ended Dec 31, 2011

Filed March 28, 2012For Securities:CRH

Summary

CRH plc's 2011 Form 20-F highlights a year of modest sales growth and improved profitability, demonstrating resilience amidst challenging economic conditions, particularly in Europe. The company reported an increase in revenue to €18.1 billion and a significant rise in operating profit to €871 million, driven by a 5% like-for-like sales increase and benefits from restructuring initiatives. EBITDA also saw a slight increase to €1.7 billion. The company maintained its dividend per share at 62.5c, improving dividend cover. CRH continued its strategy of geographic diversification and growth through acquisitions, investing €610 million in 45 bolt-on transactions. While the European segments faced headwinds from economic uncertainty and austerity measures, the Americas segments showed signs of stabilization and modest growth. The company's financial position remains strong with a net debt to EBITDA ratio of 2.1 times and robust liquidity, supported by significant undrawn committed bank facilities.

Key Highlights

  • 1Sales revenue increased by 5% to €18.1 billion, with like-for-like sales up by nearly 5%.
  • 2EBITDA (as defined) rose by 3% to €1.7 billion, despite input cost increases.
  • 3Operating profit saw a substantial increase of 25% to €871 million, benefiting from lower restructuring and impairment charges.
  • 4Earnings per share (EPS) grew by 35% to 82.6c, with dividend per share maintained at 62.5c.
  • 5Net debt remained stable at €3.5 billion, with a net debt to EBITDA ratio of 2.1 times.
  • 6The company completed 45 acquisitions for €610 million, continuing its growth-through-acquisition strategy.
  • 7CRH has a strong liquidity position with €1.3 billion in cash and liquid investments and €1.9 billion in undrawn committed bank facilities.

Frequently Asked Questions

CRH plc reported a sales revenue of €18.1 billion in 2011, an increase from €17.2 billion in 2010. The company also saw improved profitability, with operating profit rising by 25% to €871 million and earnings per share increasing by 35% to 82.6c. EBITDA also grew slightly to €1.7 billion.

CRH maintained a stable net debt of €3.5 billion in 2011, resulting in a net debt to EBITDA ratio of 2.1 times. The company's liquidity position remained strong, supported by €1.3 billion in cash and liquid investments and €1.9 billion in undrawn committed bank facilities, indicating a solid financial foundation.

CRH continued to pursue its strategy of growth through acquisitions, investing €610 million in 45 bolt-on transactions across its various business segments. This strategy aims to strengthen market positions and expand geographic reach.

Performance varied by region. European segments faced challenges due to economic uncertainty and austerity measures, although some markets like Poland and Switzerland remained resilient. The Americas segments showed signs of stabilization, with modest growth in some areas, particularly in the US construction market.