CRH recorded sales of EUR27.1bn in 2016, 15 per cent up on 2015. Divestments and disposals generated total profits of EUR55m, boosting group revenues in several regions.

The UK, Ireland and Spain delivered strong cement volumes for the group and white cement sales were up 18 per cent in Ireland, although domestic prices were constrained with overcapacity. While cement and ready-mix volumes were ahead in Spain, operating profits were lower than 2015.

French cement deliveries were aided by the inclusion of a full year of ownership of the LafargeHolcim assets and a modest recovery in the domestic market. The Netherlands benefitted from a strong recovery in the residential market and an increase in centrally-funded infrastructure projects. Meanwhile, Denmark showed improvement in the non-residential market.

Cement prices in Switzerland fell with rising imports, but German operations saw construction output up, boosted by new multi-family housing.

Polish sales were weaker than expected and saw a decline in cement sales YoY. Finland reported growth in cement volumes of 11 per cent, but pricing was under pressure with overcapacity in ready-mix and increased cement imports.

Sales in Romania fell back on lower government spending and unfavourable weather conditions. Continued strong growth in volumes and prices were delivered in Serbia due to ongoing motorway construction in the south of the country. The residential market also helped cement sales in Serbia and Hungary.

The American Materials business saw total volume improvement on the back of residential and non-residential demand. Aggregates sales increased nine per cent, asphalt three per cent and 22 per cent for ready-mix. US ready-mix volumes rose by four per cent. Canadian sales were up on 2015 and were boosted by the LafargeHolcim asset inclusions and projects like the Highway 407 extension in Ontario and the Turcoy Highway interchange project in Montreal.

Brazil's construction market weakened with overall cement consumption down 12 per cent in the southeast, while selling prices were under pressure.

In Asia construction remains strong in the Philippines and cement demand improved in 2016, operating profit was also ahead on higher selling prices and lower variable costs, while imports of clinker also fell to help profits of domestic producers.

In China Yatai Building Materials was affected by lower volumes and selling prices. Cement prices were down three per cent.

My Home Cement Industries in India saw sales fall eight per cent YoY, due to lower cement prices, imcreased competition and new capacities in the region.

CRH has revised its targeted synergies from its LafargeHolcim assets from EUR90m to EUR120m over three years.

Meanwhile, CRH chief executive Albert Manifold's pay package hit EUR10m last year, setting a new record for the boss of an Iseq company, driven by a share bonus payment tied to awards made three years ago.

Published under Cement News