Slide 1: Q2 2024 Results
Q2 2024 Results
Slide 2: Disclaimer
Disclaimer Unless the context otherwise provides, “we,” “us,” “our,” “CRH”, the “Company” and like terms refer to CRH plc and its consolidated subsidiaries. Forward-Looking Statements In order to utilize the “Safe Harbor” provisions of the United States Private Securities Litigation Reform Act of 19
Slide 3: Agenda
Agenda Operating Performance Financial Performance Track Record 2024 Outlook Q2 2024 Results 2
Slide 4: Key Messages
Key Messages Financial Performance Strategy & Capital Allocation • Differentiated strategy continuing to deliver • Significant portfolio activity YTD industry-leading performance … $3.7bn invested in value-accretive M&A • Carefully constructed portfolio & operating • Acquisition of majority stake in
Slide 5: Q2 2024 Financial Highlights
Q2 2024 Financial Highlights 1 1 Revenues Adj. EBITDA Margin EPS $9.7bn $2.3bn 23.4% $1.89 (H1: $16.2bn) (H1: $2.7bn) (H1: 16.7%) (H1: $2.05) -1% +12% +270bps +16% (H1: flat) (H1: +13%) (H1: +180bps) (H1: +31%) 1Represents a non-GAAP measure. See the discussion within 'Non-GAAP Reconciliations' on p
Slide 6: Operating Performance
Operating Performance
Slide 7: Americas Materials Solutions
Americas Materials Solutions • Strong profit growth & further margin expansion despite adverse weather in Q2 $m Change • Robust demand backdrop … Infrastructure, onshoring & megaproject activity Revenues 4,406 +6% Adj. EBITDA 1,193 +28% • Positive pricing momentum across all product lines Margin 27.
Slide 8: Americas Building Solutions
Americas Building Solutions • Performance supported by disciplined pricing & good contribution from acquisitions $m Change • Activity levels impacted by challenging weather conditions Revenues 2,116 -1% & subdued new-build residential demand Adj. EBITDA 476 Flat • Building & Infrastructure Solutions
Slide 9: Europe Materials Solutions
Europe Materials Solutions • Good growth in Central & Eastern Europe offset by lower activity levels in Western Europe $m Change • Positive Infrastructure & Non-Residential demand offset by subdued Residential activity Revenues 2,404 -8% Adj. EBITDA 499 -3% • Positive pricing momentum across all maj
Slide 10: Europe Building Solutions
Europe Building Solutions • Challenging demand backdrop $m Change • Activity levels impacted by subdued new-build Residential Revenues 728 -7% demand Adj. EBITDA 87 -3% • Continued focus on disciplined commercial management Margin 12.0% +50bps & cost saving initiatives • Improving trends ... benefit
Slide 11: Financial Performance
Financial Performance
Slide 12: Strong Organic Growth
Strong Organic Growth $15m $4m $222m $2,255m +11% $2,014m 1 Q2 23 Organic Acquisitions / Currency Q2 24 Adjusted (Divestitures) Translation Adjusted 1 1 EBITDA EBITDA 1Represents a non-GAAP measure. See the discussion within 'Non-GAAP Reconciliations' on pages 29 to 32. Q2 2024 Results 11
Slide 13: Strong & Flexible Balance Sheet
Strong & Flexible Balance Sheet 1.6x Net Debt / TTM Adj. 1 EBITDA $2.0bn $1.1bn $0.8bn $2.6bn $10.3bn $5.4bn FY 23 Cash Net M&A / Dividends / Q2 24 1 2 Capex 1 Net Debt Inflow Other Buybacks Net Debt 1Represents a non-GAAP measure. See the discussion within 'Non-GAAP Reconciliations' on pages 29 to
Slide 14: Strong Track Record of Delivery
Strong Track Record of Delivery
Slide 15: Consistent Delivery Through the Cycle
Consistent Delivery Through the Cycle 1 1,3 1,3 1 4 Revenues Adj. EBITDA EPS Op. Cash Flow Annualized TSR (10y CAGR2) (10y CAGR2) (10y CAGR2) (10y CAGR2) (10y TSR4) +8% +15% +19% +13% +16% $34.9bn $6.2bn $4.65 $5.0bn $15.5bn $1.5bn $1.5bn $0.79 2013 2023 2013 2023 2013 2023 2013 2023 … the reference
Slide 16: Industry-Leading Performance
Industry-Leading Performance … delivering superior profits, cash & total shareholder return Profits Cash Total Return (5y Adj. EBITDA1,2 CAGR3) (5y Avg. Cash Conversion1,2) (5y TSR3) 11% 12% 81% 24% 19% 8% 76% 17% 74% 13% 4% 71% US Global Total US Global Total US Global Total Peer Peer Peer Peer Pee
Slide 17: Why Invest
Why Invest Consistent Industry-Leading Performance, Growth & Value Creation Industry-leading performance & growth Leading Market Positions Industry-Leading Growth Best-In-Class Operators Strongest Balance Sheet in CRH History #1 in the US & Europe Agile & Innovative Industry-leading financial
Slide 18: Capital Allocation Priorities
Capital Allocation Priorities Acquisitions Dividends • Strong pipeline of opportunities • Consistent long-term dividend growth • Disciplined & value-focused • Current annual run-rate ~$1bn p.a. Up to $5bn+ Significant ~$16bn M&A ~$35bn Run-rate Dividends optionality for ~70% next 5 years ~30% financ
Slide 19: 2024 Outlook
2024 Outlook
Slide 20: End-Market Outlook for 2024
End-Market Outlook for 2024 Favorable underlying demand with positive pricing momentum North America Europe ~75% Adj. EBITDA 1 ~25% Adj. EBITDA1 Infrastructure Continued rollout of once-in-a- Infrastructure Robust demand underpinned by ~40% Revenues generation federal & state investment ~35% Revenue
Slide 21: Raising 2024 Guidance
Raising 2024 Guidance Reflecting positive underlying momentum & recent portfolio activity Adj. EBITDA 1 Net Income EPS $6.82bn – $7.02bn $3.70bn – $3.85bn $5.40 – $5.60 Previous: $6.55bn – $6.85bn Previous: $3.55bn – $3.80bn Previous: $5.15 – $5.45 2023: $6.2bn 2023: $3.4bn 2023: $4.65 1 1 1Represen
Slide 22: Appendix
} meme. Appendix
Slide 23: Americas Materials Solutions: Analysis of change
Americas Materials Solutions Analysis of change $ million Q2 2023 Currency Acquisitions Divestitures Organic Q2 2024 % Change Total revenues 4,164 (5) +125 (34) +156 4,406 +6% Adjusted EBITDA 935 (1) +38 (8) +229 1,193 +28% Adjusted EBITDA margin 22.5% 27.1% Q2 2024 Results 22
Slide 24: Americas Building Solutions: Analysis of change
Americas Building Solutions Analysis of change $ million Q2 2023 Currency Acquisitions Divestitures Organic Q2 2024 % Change Total revenues 2,148 (2) +61 - (91) 2,116 (1%) Adjusted EBITDA 474 (1) +15 - (12) 476 - Adjusted EBITDA margin 22.1% 22.5% Q2 2024 Results 23
Slide 25: Europe Materials Solutions: Analysis of change
Europe Materials Solutions Analysis of change $ million Q2 2023 Currency Acquisitions Divestitures Organic Q2 2024 % Change Total revenues 2,614 +24 +40 (130) (144) 2,404 (8%) Adjusted EBITDA 515 +5 +7 (38) +10 499 (3%) Adjusted EBITDA margin 19.7% 20.8% Q2 2024 Results 24
Slide 26: Europe Building Solutions: Analysis of change
Europe Building Solutions Analysis of change $ million Q2 2023 Currency Acquisitions Divestitures Organic Q2 2024 % Change Total revenues 783 +2 +6 - (63) 728 (7%) Adjusted EBITDA 90 +1 +1 - (5) 87 (3%) Adjusted EBITDA margin 11.5% 12.0% Q2 2024 Results 25
Slide 27: Materials Volumes & Prices
Materials Volumes & Prices Q2 YoY % Change H1 YoY % Change Americas Europe Americas Europe Volume Price Volume Price Volume Price Volume Price Aggregates -3% +12% -1% +3% +1% +11% -3% +3% Asphalt +1% +4% -1% - +2% +4% -5% - 1 Cement -2% +8% -2% +1% +1% +8% -2% +1% RMC -6% +9% -2% -4% - +9% -7% -2% 1
Slide 28: 2024 Financial Guidance
2024 Financial Guidance Updated Guidance Previous Guidance Low High Low High 2023 1 Net income (i) $3.70bn $3.85bn $3.55bn $3.80bn $3.4bn 1 Adj. EBITDA $6.82bn $7.02bn $6.55bn $6.85bn $6.2bn 1 EPS (i) $5.40 $5.60 $5.15 $5.45 $4.65 Capital expenditure $2.2bn $2.4bn $2.2bn $2.4bn $1.8bn (i) 2024 Net i
Slide 29: Sustainability Highlights
Sustainability Highlights Revenue from products with enhanced sustainability attributes1 ($bn) #1 43.9 0.9 13.9 12.6 11.4 9.4 m tonnes kg/$ Revenue The largest recycler wastes and by-products from other CO2e emissions per dollar of in North America industries recycled in 2023 revenue in 20232 (2022:
Slide 30: Non-GAAP Reconciliations
Non-GAAP Reconciliations CRH uses a number of non-GAAP performance measures to monitor financial performance. These measures are referred to throughout the discussion of our reported financial position and operating performance on a continuing operations basis unless otherwise defined and are measur
Slide 31: Non-GAAP Reconciliations
Non-GAAP Reconciliations Adjusted EBITDA (continued): Adjusted EBITDA is not defined by GAAP and should not be considered as an alternative to earnings measures defined by GAAP. Reconciliation to its nearest GAAP measure for the mid-point of the updated 2024 Adjusted EBITDA guidance is presented bel
Slide 32: Non-GAAP Reconciliations
Non-GAAP Reconciliations EPS pre-impairment: EPS pre-impairment is a measure of the Company's profitability per share from continuing operations excluding any loss on impairments (which is non-cash) and the related tax impact of such impairments. It is used by management to evaluate the Company's un
Slide 33: Non-GAAP Reconciliations
Non-GAAP Reconciliations Net Debt: Net Debt is used by management as it gives additional insight into the Company’s current debt position less available cash. Net Debt is provided to enable investors to see the economic effect of gross debt, related hedges and cash and cash equivalents in total. Net
Slide 34: Reconciling Data – Consistent Delivery Through the Cycle
Reconciling Data – Consistent Delivery Through the Cycle IFRS U.S. GAAP in $ millions, except per share data 2013 (ii) 2023 Revenues As reported 23,947 34,949 Europe Distribution as reported (5,227) — Americas Distribution as reported (2,210) — Building Envelope (i) (970) — Group excluding Europe Di
Slide 35: Reconciling Data – Industry-Leading Performance
Reconciling Data – Industry-Leading Performance IFRS U.S. GAAP in $ millions 2018 2023 Group profit for the financial year (IFRS) / Net Income (U.S. GAAP) 2,889 3,072 EBITDA (IFRS) / Adjusted EBITDA (U.S. GAAP) As reported 3,969 6,176 Discontinued operations as reported (170) — Group continuing oper