Slide 1: 2002 Interim Results, 3 September, 2002
2002 Interim Results, 3 September, 2002 Liam O’Mahony, Chief Executive Harry Sheridan, Finance Director 1
Slide 2: H1 2002 Highlights
H1 2002 HIGHLIGHTS 2002 2001 €m €m Change Sales 4,801 4,496 + 7% 2002 Interim Results, 3 September, 2002 Operating profit before goodwill 295 296 - Profit before tax 196 186 + 5% € cent € cent EPS before goodwill 33.51 32.95 + 2% EPS after goodwill 26.78 27.36 - 2% Cash EPS 76.59 75.79 + 1% Dividend
Slide 3: H1 2002 Overview
H1 2002 OVERVIEW z Merits of balance once again evident in a challenging environment z Ireland: while monthly comparisons are improving; H1 construction activity -10% 2002 Interim Results, 3 September, 2002 z UK: after a good start, brick deliveries weakened; Ibstock / N. Ireland lower z Mainland Eu
Slide 4: Republic of Ireland
REPUBLIC OF IRELAND H1 Analysis of change Margins €m 2002 2001 FX Acq '01 Acq '02 Organic 2002 2001 Sales - 9% 309 338 - 29 - +1 - - 30 Op profit * - 8% 61 66 -5 - - - -5 19.6% 19.4% 2002 Interim Results, 3 September, 2002 * excluding profit on disposal €3.5m (2001: €14.5m) z Overall H1 construction
Slide 5: Britain & Northern Ireland
BRITAIN & NORTHERN IRELAND H1 Analysis of change Margins €m 2002 2001 FX Acq '01 Acq '02 Organic 2002 2001 Sales - 2% 330 336 -6 +1 +7 - - 14 Op profit * - 15% 30 35 -5 - - - -5 8.9% 10.3% 2002 Interim Results, 3 September, 2002 * excluding goodwill amortisation €3m (2001: €3m) and profit on disposa
Slide 6: Mainland Europe - Materials
MAINLAND EUROPE - MATERIALS Analysis of change H1 Acq Acq Redund Margins €m 2002 2001 FX '01 '02 -ancy Organic 2002 2001 Sales +15% 460 399 + 61 +2 + 45 +2 - + 12 Op profit * - 2% 45 46 -1 - +5 - -7 +1 9.8% 11.5% * excluding goodwill amortisation €11m (2001: €9m) and profit on disposal €2m (2001: €1
Slide 7: Mainland Europe - P & D
MAINLAND EUROPE - P & D Analysis of change H1 Acq Acq Dis Rational Margins €m 2002 2001 FX '01 '02 -posals -isation Organic 2002 2001 Sales +11% 939 843 + 96 +5 + 93 + 55 - 28 - - 29 Op profit * +66% 48 29 + 19 - + 10 +8 - +4 -3 5.1% 3.4% * excluding goodwill amortisation €4m (2001: €3m) and profit
Slide 8: Mainland Europe - 2002 Outlook
MAINLAND EUROPE - 2002 OUTLOOK z Euroconstruct forecasts for major CRH markets: Ð Belgium -2.2% Ð Finland -1.0% Ï France +0.8% 2002 Interim Results, 3 September, 2002 Ð Germany -2.1% Ð Netherlands -0.6% Ð Poland -6.8% Ï Spain +4.0% Ð Switzerland -0.4% z Weak European trends continue, first flagged b
Slide 9: Americas - Materials
AMERICAS - MATERIALS H1 Analysis of change Margins €m 2002 2001 FX Acq '01 Acq '02 Organic 2002 2001 Sales +7% 1,108 1,032 + 76 +1 + 89 + 61 - 75 Op profit * n/m (30) (10) - 20 - -1 +8 - 27 -2.7% -1.0% 2002 Interim Results, 3 September, 2002 * excluding goodwill amortisation €10m (2001: €7m) and pro
Slide 10: Americas - P & D
AMERICAS - P & D H1 Analysis of change Margins €m 2002 2001 FX Acq '01 Acq '02 Organic 2002 2001 Sales +7% 1,655 1,548 +107 - 17 + 106 + 31 - 13 Op profit * +8% 141 130 + 11 -1 +8 +6 -2 8.5% 8.4% 2002 Interim Results, 3 September, 2002 * excluding goodwill amortisation €7m (2001: €6m) and loss on di
Slide 11: Americas - 2002 Outlook
AMERICAS - 2002 OUTLOOK z Construction forecasts (Dodge, FMI) -2% z Materials Î Good backlogs somewhat slow in generating activity on the ground 2002 Interim Results, 3 September, 2002 Î Bitumen costs still running higher than 2001 levels Î Key infrastructure sector solid z Products & Distribution Î
Slide 12: Acquisition Spend
H1 2002 ACQUISITION SPEND €m US Aggregates 81 2002 Interim Results, 3 September, 2002 EHL 155 Other deals 371 Total H1 spend (20 deals) 607 12
Slide 13: Components of Growth
H1 2002 COMPONENTS OF GROWTH Goodwill Profit on €m Sales EBITA Interest EBT amortisation disposals H1 2001 4,496 296 (27) 12 (95) 186 2002 Interim Results, 3 September, 2002 H1 2002 4,801 295 (35) 10 (74) 196 Increase + 7% + 5% 13
Slide 14: Components of Growth
H1 2002 COMPONENTS OF GROWTH Goodwill Profit on €m Sales EBITA Interest EBT amortisation disposals H1 2001 4,496 296 (27) 12 (95) 186 Exchange effects (8) (1) - - 1 - 2002 Interim Results, 3 September, 2002 H1 2002 4,801 295 (35) 10 (74) 196 Increase + 7% + 5% 14
Slide 15: Components of Growth
H1 2002 COMPONENTS OF GROWTH Goodwill Profit on €m Sales EBITA Interest EBT amortisation disposals H1 2001 4,496 296 (27) 12 (95) 186 Exchange effects (8) (1) - - 1 - 2002 Interim Results, 3 September, 2002 Disposed businesses (28) - - - - - H1 2002 4,801 295 (35) 10 (74) 196 Increase + 7% + 5% 15
Slide 16: Components of Growth
H1 2002 COMPONENTS OF GROWTH Goodwill Profit on €m Sales EBITA Interest EBT amortisation disposals H1 2001 4,496 296 (27) 12 (95) 186 Exchange effects (8) (1) - - 1 - 2002 Interim Results, 3 September, 2002 Disposed businesses (28) - - - - - 2001 acquisitions 341 22 (6) - (23) (7) 2002 acquisitions
Slide 17: Components of Growth
H1 2002 COMPONENTS OF GROWTH Goodwill Profit on €m Sales EBITA Interest EBT amortisation disposals H1 2001 4,496 296 (27) 12 (95) 186 Exchange effects (8) (1) - - 1 - 2002 Interim Results, 3 September, 2002 Disposed businesses (28) - - - - - 2001 acquisitions 341 22 (6) - (23) (7) 2002 acquisitions
Slide 18: Components of Growth
H1 2002 COMPONENTS OF GROWTH Goodwill Profit on €m Sales EBITA Interest EBT amortisation disposals H1 2001 4,496 296 (27) 12 (95) 186 Exchange effects (8) (1) - - 1 - 2002 Interim Results, 3 September, 2002 Disposed businesses (28) - - - - - 2001 acquisitions 341 22 (6) - (23) (7) 2002 acquisitions
Slide 19: Components of Growth
H1 2002 COMPONENTS OF GROWTH Goodwill Profit on €m Sales EBITA Interest EBT amortisation disposals H1 2001 4,496 296 (27) 12 (95) 186 Exchange effects (8) (1) - - 1 - 2002 Interim Results, 3 September, 2002 Disposed businesses (28) - - - - - 2001 acquisitions 341 22 (6) - (23) (7) 2002 acquisitions
Slide 20: Cash Earnings per Share & Dividend
CASH EARNINGS PER SHARE & DIVIDEND € cent % Earnings per share before goodwill amortisation 33.51 +2 2002 Interim Results, 3 September, 2002 Depreciation per share 43.08 +1 Cash earnings per share 76.59 +1 Dividend per share 7.43 +10 20
Slide 21: H1 Funds Flow
H1 FUNDS FLOW 2002 2001 Inflows €m €m Profit before tax 196 186 Depreciation 225 209 Goodwill amortisation 34 27 455 422 2002 Interim Results, 3 September, 2002 Outflows Working capital (214) (363) Tax paid (52) (13) Dividends (90) (68) Capital expenditure (211) (247) Other (13) (19) (580) (710) Ope
Slide 22: Key Financial Data and Ratios
KEY FINANCIAL DATA AND RATIOS H1 H1 2002 2001 Sales margins * EBITDA 10.8% 11.2% 2002 Interim Results, 3 September, 2002 EBITA (operating profit) 6.1% 6.6% EBIT 5.4% 6.0% * excluding profit on disposals Tax rate 27% 28% 22
Slide 23: Key Financial Data and Ratios
KEY FINANCIAL DATA AND RATIOS H1 Y/E H1 2001 2001 2002 2,469 1,894 Debt (€m) 2,327 2002 Interim Results, 3 September, 2002 4,552 4,775 Shareholders' funds (€m) 4,532 54.2% 39.7% Debt/shareholders' funds 51.4% 24.0% 18.3% Debt/market capitalisation 26.3% Interest cover * 6.6 8.5 EBITDA/Interest 10.0
Slide 24: Specific Irish / US Market Issues
SPECIFIC IRISH / US MARKET ISSUES z Irish Economic Outlook Î 2002 GDP growth in the range 2% to 5% Î Low Debt/GDP (33% end-2001); but planned 2002 budget surplus in doubt 2002 Interim Results, 3 September, 2002 Î EU deficit rules; some short term threat to new capital projects, however... Î ... redr
Slide 25: H1 Summary & Full Year 2002 Outlook
H1 SUMMARY & FULL YEAR 2002 OUTLOOK z Robust performance in context of: Î difficult trading conditions in many markets Î unseasonable May / June weather for US Materials 2002 Interim Results, 3 September, 2002 Î €9m rationalisation costs taken above the line z Challenging business environment: Î tou
Slide 26: Liam O’Mahony, Chief Executive; Harry Sheridan, Finance Director
2002 Interim Results, 3 September, 2002 Liam O’Mahony, Chief Executive Harry Sheridan, Finance Director 26