8-K

CRH PUBLIC LTD CO 8-K Report (Nov 8, 2011)

Filed November 8, 2011For Securities:CRH

Summary

CRH Public Limited Company (CRH) filed an 8-K on November 8, 2011, providing an Interim Management Statement for the third quarter ended September 30, 2011. The company reported a moderate like-for-like sales growth of approximately 4% in the third quarter, contributing to a 5% increase for the first nine months of the year. However, EBITDA saw a 5% decline on a constant currency basis for the quarter, impacted by various regional performance factors and adverse weather in the Americas. Despite these challenges, CRH anticipates full-year EBITDA to be around €1.6 billion, similar to the previous year, with significantly lower non-cash impairment charges expected, leading to an anticipated increase in pre-tax profit and earnings per share. The company also highlighted continued development activity with eight acquisitions completed year-to-date, totaling approximately €450 million in expenditure, primarily split between its European and Americas operations. CRH expects year-end debt to be lower than the €3.5 billion reported at the end of 2010, assuming no further acquisitions. The company is also on track to achieve revised cost reduction savings of €150 million for 2011.

Key Highlights

  • 1Third quarter like-for-like sales grew approximately 4%, bringing year-to-date growth to 5%.
  • 2EBITDA on a constant currency basis declined 5% in Q3, though cumulative EBITDA for nine months was in line with the prior year.
  • 3Anticipates full-year 2011 EBITDA of approximately €1.6 billion, consistent with 2010.
  • 4Expects significantly lower non-cash impairment charges for 2011 compared to €124 million in 2010.
  • 5Completed eight acquisitions year-to-date totaling approximately €450 million in investment expenditure.
  • 6Year-end debt is expected to be lower than €3.5 billion at the end of 2010.
  • 7Cost reduction program savings for 2011 revised upwards to €150 million.

Frequently Asked Questions

CRH reported a like-for-like sales growth of approximately 4% in the third quarter of 2011, contributing to a 5% increase for the first nine months of the year compared to the same period in 2010.

On a constant currency basis, EBITDA in the third quarter declined by 5%. Overall EBITDA for the quarter was €0.65 billion, with cumulative EBITDA for the first nine months remaining in line with the prior year at €1.2 billion.

CRH anticipates reporting full-year EBITDA of approximately €1.6 billion, similar to 2010. The company also expects profit before tax and earnings per share to be well ahead of 2010, driven by significantly lower non-cash impairment charges.

CRH completed eight acquisitions year-to-date, with investment expenditure of approximately €450 million. The company expects its year-end debt to be lower than the €3.5 billion reported at the end of 2010, assuming no further acquisitions are made.