10-QPeriod: Q3 FY2024

CRH PUBLIC LTD CO Quarterly Report for Q3 Ended Sep 30, 2024

Filed November 7, 2024For Securities:CRH

Summary

CRH Public Ltd Co reported solid financial results for the third quarter and first nine months of 2024, demonstrating revenue growth and improved profitability. Total revenues increased by 4% to $10.5 billion for the quarter and 2% to $26.7 billion year-to-date, driven by continued pricing power and contributions from strategic acquisitions. Net income saw a notable increase, rising 5% to $1.4 billion for the quarter and 13% to $2.8 billion year-to-date, reflecting improved operational efficiencies and strong gross profit margins. Adjusted EBITDA also showed significant growth, up 12% to $2.5 billion for the quarter and 12% to $5.2 billion year-to-date. The company continues to actively manage its portfolio through acquisitions, completing 28 acquisitions totaling $3.9 billion in the first nine months of the year, including the significant Adbri acquisition in Australia. This strategic M&A activity, combined with organic growth initiatives and operational improvements, positions CRH for continued value creation. CRH reaffirmed its full-year 2024 guidance and anticipates positive demand in 2025, supported by infrastructure investments and a potential recovery in residential construction.

Financial Highlights

55 data points
Beta

Revenue

$10.52B

38.6% Gross Margin

Net Income

$1.38B

13.1% Net Margin

EPS (Diluted)

$1.97

Total Assets

$51.22B

Cash & Equivalents

$2.98B

Free Cash Flow

$981.00M

Financial Statements
Beta
Revenue$10.52B
Cost of Revenue$6.46B
Gross Profit$4.06B
SG&A Expenses$2.18B
Operating Income$1.96B
Net Income$1.38B
EPS (Basic)$1.99
EPS (Diluted)$1.97
Shares Outstanding (Basic)681.60M
Shares Outstanding (Diluted)685.50M

Key Highlights

  • 1Total revenues increased by 4% to $10.5 billion for Q3 2024 and 2% to $26.7 billion for the first nine months of 2024.
  • 2Net income grew by 5% to $1.4 billion for Q3 2024 and 13% to $2.8 billion for the first nine months of 2024.
  • 3Adjusted EBITDA rose by 12% to $2.5 billion for Q3 2024 and 12% to $5.2 billion for the first nine months of 2024.
  • 4Gross profit margin improved by 140 basis points for both the quarter and year-to-date periods.
  • 5The company completed 28 acquisitions totaling $3.9 billion in the first nine months of 2024, including the significant Adbri acquisition.
  • 6CRH returned $1.5 billion to shareholders through dividends and $1.2 billion through share buybacks year-to-date.
  • 7The company reaffirmed its full-year 2024 guidance and anticipates positive demand in 2025.

Frequently Asked Questions

CRH reported strong top-line growth, with total revenues increasing by 4% to $10.5 billion in Q3 2024 and by 2% to $26.7 billion for the first nine months of 2024. Profitability also improved significantly, with Net Income rising 5% to $1.4 billion in Q3 and 13% to $2.8 billion year-to-date. Adjusted EBITDA showed robust growth, up 12% to $2.5 billion for the quarter and 12% to $5.2 billion for the nine-month period.

The growth was primarily driven by continued positive pricing momentum across business lines and significant contributions from strategic acquisitions, including the Adbri acquisition in Australia. Operational efficiencies and improved gross profit margins, up 140 basis points for both the quarter and year-to-date periods, also played a crucial role in enhancing profitability. Reduced energy costs also contributed positively to gross profit.

CRH is actively deploying capital through strategic acquisitions, completing 28 deals for $3.9 billion in the first nine months of 2024, and investing $1.6 billion in capital expenditure. The company is also committed to returning capital to shareholders, having paid $1.5 billion in dividends and repurchased $1.2 billion of its shares year-to-date. CRH transitioned to quarterly dividends in 2024 and announced a further $0.3 billion share buyback tranche.

CRH reaffirmed its full-year 2024 guidance, indicating confidence in its performance. Looking ahead to 2025, the company expects positive underlying demand, supported by significant public investment in infrastructure and re-industrialization, and anticipates a gradual recovery in residential construction due to a lower interest rate environment. CRH expects another year of progress in 2025, driven by pricing, demand, and its integrated solutions strategy.