CRH reports first-half loss of €71 million

Revenues at building materials group decline 3% due to difficult weather conditions

CRH chief executive Myles Lee and company COO Albert Manifold. CRH this morning reported pre-tax losses of €71 million for the first six months of the year.

CRH chief executive Myles Lee and company COO Albert Manifold. CRH this morning reported pre-tax losses of €71 million for the first six months of the year.

Tue, Aug 20, 2013, 07:50

Building materials giant CRH has reported a loss of €71 million for the first six months of the year, with the weak economic backdrop in Europe and difficult weather conditions in both Europe and North America leading to a decline in sales.

Revenue fell 3 per cent to €18.7 billion the six months to the end of June from €8 billion the previous year, while operating profit declined from €162 million to €41 million.

On a like-for-like basis, excluding the impact of acquisitions, divestments and exchange translation, revenues were 6 per cent lower than 2012.

Overall, the company reported a pre-tax loss of €71 million compared to a profit of €102 million in the first-half of 2012.

In its interim results, Ireland’s biggest company said earnings before interest, tax, depreciation and amortisation (Ebitda) at €397 million was in line with AGM guidance.

CRH chief executive Myles Lee said overall construction activity remains weak despite recent economic indicators which suggest the Eurozone may be emerging from recession.

“In the United States, economic growth is estimated to have strengthened over recent quarters and we expect second half Ebitda to be ahead of last year.”

The Board recommended a final dividend of 18.5 cent per share.