10-QPeriod: Q1 FY2024

CRH PUBLIC LTD CO Quarterly Report for Q1 Ended Mar 31, 2024

Filed May 10, 2024For Securities:CRH

Summary

CRH plc reported a net income of $114 million for the first quarter of 2024, a significant improvement from a net loss of $31 million in the same period of 2023. Total revenues increased by 2% to $6.5 billion, driven by pricing progress and contributions from acquisitions, which more than offset lower volumes in Europe. The company also saw a substantial increase in Adjusted EBITDA to $445 million, up 15% year-over-year, with an improved Adjusted EBITDA margin of 6.8%. Strategic capital allocation was a key theme, with $0.8 billion returned to shareholders via dividends and $0.4 billion through share buybacks. CRH also made significant acquisition investments totaling $2.2 billion in the quarter, including a large cement and readymixed concrete asset portfolio in Texas. The company expects a favorable market backdrop for the full year 2024, anticipating continued positive pricing momentum and benefiting from infrastructure spending in North America and Europe, despite a subdued outlook for residential construction.

Financial Highlights

56 data points
Beta

Revenue

$6.53B

27.7% Gross Margin

Net Income

$116.00M

1.8% Net Margin

EPS (Diluted)

$0.16

Total Assets

$46.33B

Cash & Equivalents

$3.31B

Free Cash Flow

-$1.22B

Financial Statements
Beta
Revenue$6.53B
Cost of Revenue$4.73B
Gross Profit$1.81B
SG&A Expenses$1.79B
Operating Income$28.00M
Interest Expense$133.00M
Net Income$116.00M
EPS (Basic)$0.16
EPS (Diluted)$0.16
Shares Outstanding (Basic)687.80M
Shares Outstanding (Diluted)693.40M

Key Highlights

  • 1Net income turned positive at $114 million in Q1 2024, a substantial turnaround from a $31 million net loss in Q1 2023.
  • 2Total revenues grew 2% to $6.5 billion, driven by price increases and acquisition contributions.
  • 3Adjusted EBITDA increased by 15% to $445 million, with the Adjusted EBITDA margin improving to 6.8%.
  • 4Significant capital deployment includes $0.8 billion in dividends and $0.4 billion in share buybacks during the quarter.
  • 5The company completed $2.2 billion in acquisitions, notably a substantial cement and readymixed concrete portfolio in Texas.
  • 6Divestitures of European Lime operations generated $0.7 billion in proceeds.
  • 7CRH anticipates continued growth in 2024, supported by favorable market conditions and infrastructure spending.

Frequently Asked Questions

CRH reported a net income of $114 million for the first quarter of 2024, a significant improvement compared to a net loss of $31 million in the same period of 2023. This turnaround was driven by higher gross profit and other nonoperating income, which offset increased SG&A and interest expenses.

Total revenues increased by 2% to $6.5 billion in the first quarter of 2024, compared to $6.4 billion in the prior year. This growth was primarily attributed to continued pricing progress and contributions from acquisitions, which helped offset lower volumes experienced in Europe.

CRH is actively returning capital to shareholders through dividends and share buybacks. In the first quarter of 2024, $0.8 billion was paid in dividends and $0.4 billion was used for share repurchases. The company also continued its strategy of growth through acquisitions, investing $2.2 billion in the quarter.

CRH expects a favorable market backdrop for 2024, with continued positive pricing momentum. The company anticipates benefiting from significant infrastructure activity in North America and Europe. While residential construction is expected to remain subdued, CRH is well-positioned for another year of growth, assuming normal seasonal weather patterns and macroeconomic stability.