JONA (dpa-AFX) - Swiss building materials firm Holcim Group (HCMLY.PK, HCMLF.PK) reported Thursday that its first-quarter recurring EBIT grew 7.8 percent to 532 million Swiss francs from last year's 493 million francs. Recurring EBIT grew 17.1 percent in local currency.
Recurring EBITDA was 1.01 billion francs, up from prior year's 970 million francs.
Net sales dropped 2.4 percent to 5.59 billion francs from prior year's 5.73 billion francs. In local currency, sales grew 3.4 percent, but sales were flat organically.
North America delivered margin expansion with a 3.9 percent increase in local currency recurring EBIT, driven by strong underlying market demand.
In Latin America, Holcim achieved strong growth in net sales and recurring EBIT. Europe delivered double-digit recurring EBIT growth, with an increase in the recurring EBIT margin of 1.5 percentage points.
Looking ahead for fiscal 2024, Holcim continues to expect organic net sales growth of above 4 percent, with additional growth from M&A of above 2 percent.
The company still expects over-proportional growth in recurring EBIT, and increase in recurring EBIT margin to 18 percent.
In North America,strong performance is expected to continue in 2024.
Jan Jenisch, Chairman and CEO, said, 'In Q1 2024, we delivered over-proportional recurring EBIT growth of 17.1 percent in local currency, which more than offset the strength of the Swiss franc. We continued to execute value-accretive transactions, making five acquisitions and closing four divestments, with net M&A adding more than 3 percent to our net sales in the first quarter. With the further expansion of our industry-leading recurring EBIT margin, I confidently confirm our full-year guidance for 2024.'
Copyright(c) 2024 RTTNews.com. All Rights Reserved
Copyright RTT News/dpa-AFX
© 2024 AFX News
