| Click for the Finfacts Ireland Portal Homepage |

Finfacts Business News Centre

 Irish Economy
 EU Economy
 US Economy
 UK Economy
 Global Economy
 Asia Economy


How to use our RSS feed

Follow Finfacts on Twitter

Web Finfacts

See Search Box lower down this column for searches of Finfacts news pages. Where there may be the odd special character missing from an older page, it's a problem that developed when Interactive Tools upgraded to a new content management system.


Finfacts is Ireland's leading business information site and you are in its business news section.


Finfacts Homepage

Irish Share Prices

Euribor Daily Rates

Irish Economy

Global Income Per Capita

Global Cost of Living

Irish Tax - Income/Corporate

Global News

Bloomberg News

CNN Money

Cnet Tech News


Irish Independent

Irish Times

Irish Examiner

New York Times

Financial Times

Technology News




Content Management by interactivetools.com.

News : Irish Last Updated: Aug 16, 2011 - 11:14 AM

CRH reports profit before tax of €95m in H1 2011 - - up €70m on 2010; Revenues rose 5%
By Finfacts Team
Aug 16, 2011 - 7:15 AM

Email this article
 Printer friendly page
CRH, the global building materials group, was formed through a merger in 1970 of two leading Irish public companies, Cement Limited (established in 1936) and Roadstone Limited (1949). CRH accounts for about 27% of the market capitalisation on the Irish Stock Exchange and up to 90% of CRH's shares are held outside Ireland. CRH's current payroll of about 75,000, fell from 94,000 in 2008. Less than 2,000 are located in Ireland.

CRH plc, which is headquartered in Dublin, Ireland and is the second-biggest building materials supplier in the world, and the market leader in the United States, today reported profit before tax of €95m in H1 2011, up €70m on H1 2010. Revenues rose 5%.

Sales revenue of €8.2bn for the first six months of 2011 was ahead of 2010 by €0.5bn (+7%); on a like-for-like basis, excluding the impact of acquisitions, divestments and translation, sales increased by +5%.

EBITDA (earnings before interest, taxes, depreciation, and amortization) of €574m for the period was ahead of 2010 (€520m). CRH said this improvement in EBITDA was led by the Products and Distribution operations in both Europe and the Americas. CRH said EBITDA is stated after charges of €16m (H1 2010: €31m) associated with the continuing cost reduction programme.

Depreciation and amortisation charges amounted to €390m (H1 2010: €402m), including impairment charges of €7m arising in the Europe Products business (H1 2010: nil).

Operating profit increased +56% to €184m. Profit before tax increased by €70m to €95m and earnings per share increased to 10.7c (H1 2010: 2.6c).

Net debt of €3.9bn at end-June was €0.8bn lower than at end-June 2010. With EBITDA/net interest cover at 7.0 times for the 12 months to June 2011 (2010: 6.5 times), and net debt/EBITDA at 2.4 times (June 2010: 2.8 times), CRH said it continues to have one of the strongest balance sheets in the sector.

Myles Lee, chief executive, said today: "The positive outcome for the first half of 2011 clearly demonstrates the advantages of CRH's product and sectoral end-use balance and the benefits of the extensive reorganisation and restructuring measures implemented in response to the exceptionally difficult markets of recent years.

Looking to the second half, downward revisions to economic growth estimates over recent months, combined with the extreme turbulence evident in world financial markets over the past few weeks, have added to market risks and uncertainties. Against this background we continue to focus on operational and commercial excellence, on delivering the price increases necessary to recover higher input costs in our businesses and on delivering a year of progress for CRH in 2011."

Results detail

Barry Dixon of Davy commented: "Most of the profit was due to better-than-expected performance from the European Products & Distribution divisions, which reported EBITDA 17% and 55% respectively up on H1 2010. EBITDA for Europe overall increased by 18%.

EBITDA for the Americas region declined by 4%, including the adverse impact of currency translation. EBITDA from the Materials divisions was 21% lower with volumes better and price increases insufficient to offset input cost rises. EBITDA from the Products and Distribution divisions increased by 9% and 7% respectively

The dividend has been maintained at 18.5c per share.

CRH has completed seven acquisitions since end-June for a total consideration of €217m. This brings the year-to-date total spend to €380m (€245m in the same period last year).

Outlook remains muted; forecasts likely to remain unchanged; stock starting to look more interesting

In its outlook, management indicates that risk and uncertainty have increased in recent times. Against this backdrop, it still expects to deliver 'a year of progress.'

In our FY 2011 forecasts, we are assuming flat revenues on a like-for-like basis in H2 (+5% in H1), reflecting the slowdown.

It is unlikely that we will make any changes to our 2011 or 2012 forecasts at this time.

The stock is starting to look more interesting following the recent sell-off, particularly in light of our stable earnings forecasts."

Related Articles
Related Articles

© Copyright 2011 by Finfacts.com

Top of Page

Latest Headlines
Ryanair revises up full-year profit guidance
AIB bank profitable in third quarter
Ryanair announces half-year profits up 32% to €795m
Ryanair benefits from improved customer service
Ryanair to buy 100 new Boeing 737 MAX 200
Finfacts server migration Thursday
State-owned Allied Irish Banks reports H1 2014 profit as bad loan charges plunge
Ryanair reports profit in its financial first quarter soared 152%
UK firm opens van dealership in Dublin
Ryanair reports 8% fall in full-year profit; US services to commence in 2019
Global Financial Centres Index: New York overtakes London; Dublin slips to 66 of 83 cities
Bank of Ireland reports “significant” improvement in 2013 results
Sale process of IBRC UK projects Rock and Salt completed
CRH says 2014 will be year of profit growth after reporting 2013 loss
Ryanair reports third-quarter loss
Irish Water says it saved €100m in setup costs
RSA Insurance fires two Irish executives for large loss/ accounting irregularities
Bank of Ireland will have to raise provisions by €1.4bn; AIB says it's "well capitalised"
CRH reports slightly improved third quarter
Central Bank says ownership of Newbridge Credit Union transferred to permanent tsb
Ryanair reports H1 profits rose by 1% to €602m
Dublin Web Summit: Irish Stock Exchange and NASDAQ OMX announce dual listing plan
Irish pension managed funds returned to growth during September
Dan O’Brien resigns as economics editor of The Irish Times
Central Bank says no action required on Anglo tapes revelations
Ryanair flew 9m passengers and Aer Lingus carried 1.1m in August
UK Competition Commission says Ryanair must cut Aer Lingus stake to 5%
CRH reports H1 2013 revenue dip and loss
Vodafone refunded UK after discovery of Irish tax haven deal
RBS reports half year profit; Ulster Bank posts reduced loss
Bank of Ireland cuts pretax losses in HI 2013 to €504m
Irish State-owned Allied Irish Banks reports losses of €758m in H1 2013
Service Announcement
Irish managed pension funds declined in June
VHI reports 2012 surplus of €54.3m; Health insurance made loss
Ex- Elan director says management / board "not competent to run a business"
Aer Lingus to put €140m in employees pensions fund; Ryanair apoplectic
Wednesday Newspaper Review - Irish Business News and International Stories - - May 22, 2013
Tuesday Newspaper Review - Irish Business News and International Stories - - May 21, 2013
Ryanair, Europe’s biggest low cost carrier, announced Monday record annual profits of €569m - - up 13%