Holcim posts record 3Q performance

Holcim reported record 3Q net sales of CHF8045m (US$8043.1m), up 10.4 per cent YoY and 16.3 per cent on a like-for-like (LfL) basis, from CHF7286m. Recurring EBIT edged 1.2 per cent (+7.7 per cent LfL) to CHF1551m in the 3Q22 from CHF1534m in the 3Q21.

In the 9M22 group net sales increased 14.5 per cent (+13.9 per cent LfL) to CHF22,725m from CHF19,842m in the 9M21. Recurring EBITDA advanced to CHF3724m in the 9M21 from CHF3516m in the year-ago period. This represents a YoY rise of 5.9 per cent and a LfL increase of 6.5 per cent.

Jan Jenisch, CEO of Holcim, said: “Q3 was a quarter of record performance and successful transformation for Holcim. We continued to expand Solutions & Products with four acquisitions and delivered 10 bolt-ons in aggregates and ready-mix this year. We also completed the divestments of India and Brazil with cash proceeds of US$7.3bn. Solutions & Products is already reaching 25 per cent of our net sales in 2022, driven by the roofing business, which is delivering a record Recurring EBIT margin of 20 per cent. We strengthened our footprint in the attractive North America market, accounting for 40 per cent of sales and 41 per cent of Recurring EBIT.
 
Going forward, the company will use the US$7.3bn cash proceeds from the divestments in India and Brazil to fund profitable growth and continued acquisitions while maintaining strict value discipline, said the company. It will also support a strong balance sheet, targeting debt leverage of around 1x in 2022 and deliver attractive returns for its shareholders, with the launch of a CHF2bn share buyback programme.