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CRH plc Stock Price: Quote, Forecast, Splits & News (CRH)

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CRH plc Price & Performance (CRH)

Stock Performance

Updated Mar 27, 8:00 PM UTC

CRH:NYSE

$92.14USD

2.58% · $2.44

After Hours

+1.32% · $1.22

Open

$94.00

High

$94.01

Low

$91.83

Market Cap

$62.45B

P/E Ratio

18.4

Volume

4.35M

Year High

$110.97

Year Low

$71.18

Dividend Yield

1.44%

News & Market Insights

CRH Stock Sees Modest Uptick Amid Dividend Announcement
Mar 20, 2025
CRH plc's stock opened at $98.34 on Wednesday, reflecting a slight increase of 0.2%. The company recently announced a quarterly dividend of $0.37, up from $0.23 previously. The annualized dividend yield now stands at 1.50%, with payment scheduled for April 16, 2025. This marks a positive step for investors.12
Analysts Maintain Optimism for CRH Despite Earnings Challenges
today
Despite missing FY25 earnings expectations, CRH plc retains strong buy ratings from analysts. The company forecasted EPS between $5.34 and $5.80, falling short of the $6.00 consensus. However, its strategic positioning and growth potential in infrastructure spending continue to bolster market confidence.34
CRH Expands Share Buyback Program to Boost Investor Confidence
Feb 28, 2025
On March 20, 2025, CRH plc executed a share buyback, acquiring 66,153 shares as part of its $300 million program. Following the buyback, the company now holds 38.58 million treasury shares, representing 5.39% of its issued capital. This move aims to enhance shareholder value amid market fluctuations.15

What's Happening

Peers

Earnings

Report Date

—

Rev Estimate

—

Avg 1d Change

3.24%

Report Period

H2 2024

EPS Estimate

—

Implied Move 1d

—

Transcript

4m 55s

Thanks, Jim. Hello, everyone.

4m 57s

Before we begin today's proceedings, I'd like to draw your attention to Slide one shown here on screen. During today's presentation, we'll be making some forward looking statements. Relating to our future plans and expectations. These are subject to certain risks and uncertainties, and actual results and outcomes could differ materially due to the factors outlined on this slide. For more details, please refer to this slide our annual report and other SEC filings which are available on our website. I'll now hand you back to Jim, Alan and Randy to deliver some prepared remarks.

5m 31s

Thanks, Tom. We have a busy schedule for you this morning. Over the next thirty minutes or so, we will take you through a brief presentation of our fourth quarter and full year results, Highlighting the key drivers of our operating performance over the course of 2024, well as providing you with an early indication of our expectations for our business in the year ahead. We are also going to spend some time discussing our capital allocation activities and how we are strategically positioning CRH to continue to deliver industry leading growth and value creation for our shareholders. After that, we will have plenty time for Q and A and overall, we should be finished within the hour. First on Slide three, I'm pleased to report an industry leading performance for CRH in 2024, But before we get into the detail of that performance, I want to take a step back for a moment and discuss what's been driving the consistency of our financial delivery year in, year out over the last decade. We are the leading provider of building materials solutions in North America and Europe. Operating across 3,800 locations, The size and scale of our business carefully constructed over the last fifty five years is simply unmatched and impossible to replicate That scale combined with our customer connected solution strategy enables us to better serve our customers increasingly complex needs as well as delivering higher growth and value for our shareholders.

7m 3s

Our core philosophy of continuous business improvement and best in class operators is deeply embedded in the DNA of CRH CRH. [indiscernible] are relentlessly focused on performance across the business, but not just performance, performance with purpose, delivering improvement each and every year, and I am pleased to report that we delivered our eleventh consecutive year of margin improvement in 2024. The disciplined and value focused allocation of our capital to support our strategic growth initiatives We have acquired over 1,200 businesses throughout our history including 800 in The United States alone. Building market leadership positions in the higher growth regions of The U. S. We have decades of experience identifying acquiring and integrating businesses and a proven track record of value creation and synergy delivery. We remain focused on investing in higher growth markets benefiting from secular growth tailwinds and over the course of 2024 we invested $5,000,000,000 on 40 value accretive acquisitions across our business. At CRH, we have a uniquely connected portfolio of businesses. By integrating our materials, products and value added services across the construction value chain, we are able to maximize growth, profitability and cash generation by also delivering less volatility and more consistency through the cycle.

8m 37s

These are the components of our differentiated and customer connected solution strategy. That is what has driven our consistent financial performance over the last decade as well as another year of double digit profit growth in 2024. Turning to Slide four, where you can see some of our key financial highlights for the fourth quarter and full year. And I think this slide really demonstrates the strength of our performance. We had a strong finish to 2024, with Q4 revenues, adjusted EBITDA and margin growth trends consistent with the overall full year out term. Total full year revenues of $35,600,000,000 2% ahead of prior year, reflecting resilient underlying demand across our key end use markets, further commercial progress as well as contribution from acquisitions. This enabled us to deliver adjusted EBITDA of $6,900,000,000 12% ahead and a further 180 basis points of margin expansion. A robust performance, which also reflects continued operational excellence and strong cost control across our business. As you can see, all of this translated into strong growth in our earnings per share up 18% on the prior year. I'm pleased to see another year of improvement in our returns, a key performance metric across all our businesses. 15.5% in 2024, 20 basis points ahead.

10m 9s

Building on the progress we have made in recent years, and an area that we can continue to improve upon. Now at this point, I will ask Randy to take you through the performance of each of our businesses.

10m 21s

Thanks, Jim. Hello, everyone. Turning to Slide six and beginning with Americas Materials Solutions. Which delivered a good fourth quarter as well as strong for the year as a whole. Total full year sales and adjusted EBITDA were 522% ahead of the prior year, primarily driven by price increases across all lines of business and further operational efficiencies. In Essential Materials revenues were up 5%, supported by pricing growth of 10% in aggregates and 8% in cement. In Road Solutions, revenues also increased by 5% driven by improved pricing in asphalt and ready mixed concrete. All of this was delivered against a backdrop of some challenging weather conditions which impacted activity levels in many parts of The United States during the year. Looking through the impact of adverse weather, however, I'm pleased to report report that the underlying demand backdrop across our key markets remains positive. Infrastructure, our largest end market continues to be underpinned by robust levels of state and federal funding through the IIJA. And only a third of highway funds in the IIJA have been deployed to date highlighting the significant runway we have ahead of us. We also continue to see good levels of activity in certain segments of non including new build manufacturing facilities and data centers.

11m 47s

These are often large, highly specified construction projects that fit very well with our differentiated strategy. A real sweet spot for our business that generates higher profits, cash and returns while providing more value to our customers. Our results also reflect contribution from acquisitions primarily our $2,100,000,000 acquisition of material assets in Texas. And we continue to make good progress on the synergies we've identified to date. I'm also pleased to see a strong improvement in our margin of three forty basis points compared to the prior year. Reflecting disciplined cost control, further operational efficiencies across our business as well as the impact of a gain on certain land asset sales during the year. As we look ahead, I'm encouraged by the continued positive momentum in our backlogs. Reflecting the robust infrastructure funding environment I mentioned earlier. Next to Americas Building Solutions on Slide seven, where our business delivered a resilient fourth quarter and full year performance. As you can see on the slide, our full year profitability was slightly behind a strong prior year comparative a good performance in the context of some challenging weather conditions impacting our operations in large parts of The United States and subdued demand in the new build residential segment.

13m 7s

Our Building and Infrastructure Solutions business continues to be and significant funding for critical infrastructure. Well as contributions from acquisitions. In Outdoor Living Solutions, our business benefited from its exposure to more resilient residential repair and remodel activity good demand in the retail channel. Moving to International Solutions on Slide eight, where our business delivered further in both the fourth quarter and the full year Overall, we delivered a 7% increase in full year adjusted EBITDA 120 basis point of margin expansion. Supported by positive pricing momentum and disciplined cost control. In Central And Eastern Europe, demand continues to be supported by good levels of public and private funding for infrastructure and non residential construction activity, While in Western Europe, activity levels were impacted by subdued but stabilizing new build residential demand. Our results also reflect contributions from acquisitions, most notably our investment in Agbri, a leading provider of building materials in Australia The integration is progressing well and we're excited about the opportunities it presents in this attractive market. So overall, good delivery from our businesses in the fourth quarter as well as on a full year basis. And I'll hand you over to Alan to take you through our financial performance in further detail.

14m 34s

Thanks, Randy, and hello, everyone. Turning now to Slide 10, and the key components of our adjusted EBITDA performance.

14m 42s

As you can see on the left hand side of the slide, we had a strong finish to 2024, delivering fourth quarter adjusted EBITDA of approximately $1,800,000,000 12% ahead of the prior year period. Looking at our performance for the full year on the right hand side, for me, the real highlight is the $6.00 $3,000,000 organic growth we achieved. A 10% increase compared to the prior year. Reflecting resilient underlying demand across our key end markets further pricing progress operation efficiency and cost control Acquisitions net of divestitures delivered a further CAD142 million of adjusted EBITDA primarily reflecting the contribution from our acquisition of Materials Assets in Texas and Australia as well as the impact of the divestiture of our European Lime operations. In terms of the impact of currency translation on our business, there was a small tailwind for the year. Primarily the result of a slightly weaker U. S. Dollar relative to some of our other currency exposures. Overall, we delivered approximately $6,900,000,000 of full year adjusted EBITDA. 12% ahead of the prior year. Next to Slide 11. And here you can see how our continued focus on cash generation financial discipline enabled us to maintain our strong balance sheet position in 2024.

16m 15s

Looking at the key components of this performance. We ended 2023 with net debt of $5,400,000,000 Our business generated $5,000,000,000 of operating cash during the year, and this strong performance underpins our ability to invest in our business for further growth while also returning significant amounts of cash [indiscernible] As Jim mentioned earlier, we completed a significant amount of portfolio activity in 2024. Investing $5,000,000,000 on 40 strategic acquisitions, We also received over $1,000,000,000 of proceeds from divestitures, which net of other items including net debt acquired as part of our investment in Adbry in Australia, resulted in a total increase of approximately $4,500,000,000 We also invested $2,600,000,000 in capital expenditure to support further growth in our existing business. And we returned $3,000,000,000 to our shareholders in the form of dividends and share buybacks. Overall, this resulted in net debt of $10,500,000,000 at year end, representing a net debt to adjusted EBITDA ratio of 1.5x. I'm also pleased to report that in line with our strong financial position, and policy of consistent long term dividend growth, the Board has declared a new quarterly dividend of $0.37 per share representing an annualized increase of 6% compared to the prior year and continuing our proud track record of delivering over forty consecutive years of dividend growth and stability.

17m 57s

In relation to our ongoing share buyback program, today we commenced a further quarterly tranche of $300,000,000 to be completed no later than May 2. Now at this point, I'd like to turn to capital allocation. And the opportunities we have to create further growth and value for our shareholders. On to Slide 13, And on the left hand side, you can see the capital allocation framework that we communicated to the market last year. At that time, we said we expected to have at our disposal financial capacity in the order of $35,000,000,000 over the next five years. This was a reflection of our growth profile the level of cash we were generating and the strength of our balance sheet. With approximately 70% expected to be allocated to acquisitions and growth CapEx, and the remainder returned to our shareholders through dividends and buybacks. As you can see on the right hand side of the slide, we made good progress in 2024. Allocating approximately $8,000,000,000 of capital in net M and A growth CapEx dividends and share buybacks. Demonstrating our efficient and disciplined approach to capital allocation to maximize value for our shareholders. Now at this point, will ask Randy to take us through our growth investments in further detail.

19m 20s

Thanks, Alan. First to M and A on Slide 14, where we have a proven track record of value creation over many years. Enabled by our unmatched scale, breadth and financial capacity. As you can see, 2024 was an active year from an M and A perspective. With approximately $5,000,000,000 invested in a total of 40 acquisitions, equivalent to one every ten days CRH our strategic focus areas of Essential materials, road solutions, In addition to the acquisitions in Texas and Australia I mentioned earlier, we invested $2,100,000,000 in 38 strategic bolt on acquisitions. Which really highlights the fragmented nature of our industry and the multiple avenues we have for further growth as a result of our differentiated strategy. Example, in California, we acquired Bodine, a materials business with a substantial hard rock reserves as well as integrated asphalt and ready CRH concrete operations. This was followed later in the year by our acquisition of Dutra Materials, bringing additional strategic aggregate reserves and asphalt production capabilities. These acquisitions represent a strategic entry into California for our Americas Material Solutions business.

20m 32s

We're excited about the opportunities to create a new platform for growth in this attractive market. We also acquired GeoFortis in Utah, a leader in The U. S. Cement binder market. Complementing our existing cement operations and enhancing our ability to provide more sustainable products for our customers. In the fourth quarter, we acquired Diamond Concrete CRH, a manufacturer of reinforced concrete pipe and stormwater management solutions in Georgia. This represents an attractive geographic infill for our Americas Building Solutions business in the area of critical water infrastructure. From a materials perspective, we added over 1,000,000,000 tons of aggregate reserves to our business in 2024, further strengthening our market leading minerals reserve positions. So a busy year on the acquisition front. Demonstrating our commitment to the disciplined allocation of capital into attractive high growth markets with secular tailwinds in areas where we can further develop our customer connected solution strategy. Turning to Slide 15, we also had a busy year investing in our existing business. Leveraging our footprint, size and scale to fully capitalize on the attractive During 2024, we invested $1,100,000,000 in growth CapEx, And here you can see some examples of the type of investments we made. Expanding our production capacity to meet demand in high growth markets while investing in innovation, and product development to remain at the forefront of our industry.

22m 1s

We're also continuing to improve our production efficiency and sustainability performance. Investing in increased automation, which will reduce costs and enhance operating performance. As well as investments that will reduce our reliance on fossil fuels to optimize our energy usage increasing our contribution to circularity and reducing emissions. For example, we are modernizing and automating our Capes Sandy quarry in Southern Indiana, one of our largest quarries in North America. Strategically located along the Ohio River, our operations have an expansive geographical reach, serving customers across five CRH, the investment will drive further operational efficiencies as well as increasing capacity to support future growth. In North Carolina, we're building an automated enabling us to capitalize on the strong growth opportunities identified in this market. These type of investments are an excellent use of capital, low risk, high returning investments that will enable us to accelerate our growth margins and returns.

23m 5s

Thanks, Randy. A great update there on a busy year of investment activity. It's a very exciting time for CRH. And at this stage, I would like to take a moment to discuss how we are strategically positioned going forward. Turning to Slide 17, and as you can see, we are unique to benefit from key secular growth tailwinds, including urbanization, megatrends that will support significant above market growth and value creation for years to come. As I said earlier, we are the largest building materials business in North America and Europe, two of the most attractive construction markets in the world, No one comes close to the size and scale of CRH. In The United States, we have a national footprint within attractive mix of regional sector and end use exposures. We have also focused on higher growth markets in the South and West, With states such as Texas and Florida, our two largest markets, benefiting from higher rates of population growth and the inward migration, which drive newbuild construction demand. We also benefit from attractive geographic footprint in Europe. With some of the most demanding building specifications in the world Western Europe is an important hub for construction innovation, design and new tech developing new products and techniques, which we can then transfer at scale across entire group.

24m 39s

In Central And Eastern Europe, our business benefits from significant long term construction needs, much like the Southern and western regions of The United States. As you can see on the right hand side of the slide, we have leading positions in these markets, including being the number one aggregates producer in North America. So in summary, we have positioned our business to capitalize on key secular tailwinds in higher growth regions. And we have developed leadership positions in these markets to our uniquely connected portfolio of businesses. All of this represents a powerful combination to deliver consistent compounding performance through the cycle. Turning now to Slide 18, and here you can see what consistent execution of this strategy has produced over the last decade. In addition to growing our top line, we have delivered strong double digit growth in adjusted EBITDA and earnings per share. Equivalent to compound annual growth of 1517% improvement I mentioned earlier. On Slide 19, you can also see that on a relative basis, we have delivered an industry leading performance in 2024. Particularly in terms of profit growth and margin improvement. Outperforming some of the best in our industry and delivering superior value for our [indiscernible] [indiscernible] outperformed in 2024, but let's take a look at Slide 20 and our performance over time.

26m 19s

Over the last one, five, ten, or even fifty years, the answer is the same. Industry leading total shareholder return. A performance that really highlights CRH as the leading compounder Now before I discuss our expectations for the year ahead, let me share our thoughts on the outlook across our markets. Turning to Slide 22. Today, The Americas represents approximately 75% of our adjusted EBITDA. With our international division representing the remaining 25%. First to infrastructure, our largest end market, Here, we expect demand in The United States to be underpinned by the continued rollout of state and federal funding. As Randy mentioned earlier, only one third of the IJA Highway funds have been deployed so far. Highlighting the significant runway that lies ahead. In our international markets, we expect robust demand infrastructure activity to continue, supported by significant investment from government and EU funding programs. In non residential, we expect our key segments to benefit from secular growth tailwinds as well as increased industrial activity. In the residential sector, we expect newbuild activity in The U. S. To remain subdued while repair and remodel activity remains resilient. As we have said in the past, we believe the long term fundamentals for residential construction remain attractive, supported by favorable demographics and significant levels of underbuild.

27m 56s

In our international markets, we expect residential activity to stabilize with structural demand fundamentals supporting a gradual recovery. [indiscernible] Regarding the pricing environment, we expect positive momentum to continue across our markets supported by disciplined commercial management as well as the benefits of our differentiated So in summary, the overall trend is positive for our business and we are well positioned to capitalize on the strong growth opportunities that lie ahead. Turning to Slide 23 and against that backdrop, here we have set out our financial guidance for 2025. Assuming normal weather patterns through the remainder of the year, and no major dislocations in the political or macroeconomic environment, we expect full year group adjusted EBITDA to be between $7,300,000 and $7,700,000,000 Net income between $3,700,000,000 and $4,100,000,000 and diluted earnings per share between $5.34 and $5.8 representing another strong year of delivery for CRH CRH. It's obviously still very early in the construction season, but we feel good about 2025 and we will of course update you on our expectations as the year unfolds.

29m 14s

As I mentioned earlier, our differentiated strategy, relentless focus on performance, disciplined capital allocation, and uniquely connected portfolio are the fundamental drivers of ore outperformance in recent years. And they leave us well placed to deliver another year of growth and value creation in 2025. [indiscernible] So that concludes our presentation this morning. Look forward to spending some more time with you later in the year you will have the opportunity to meet the wider leadership team and hear more about the significant growth and value creation opportunities we see for our business in the years ahead. I will now hand you back to the moderator, to coordinate the Q and A session of our call.

29m 58s

Thank you. Our first question comes from Anthony Pettinari with Citigroup. Please go ahead.

30m 17s

Good morning.

30m 19s

I'm wondering if you can give any additional color on kind of some of the moving pieces for the '25, outlook in terms of end markets segments and if that's changed at all from kind of the preliminary guidance that you gave late last year?

30m 38s

Hi, Anthony. Good morning. Good to hear from you. Jim here. Maybe I might ask Alan to come back at the end and maybe just to step us through maybe some of the puts and takes on the guidance. But maybe just give a bit additional color on the guidance. We're stepping off an industry leading performance just in 2024 and yet another year of double digit growth for CRH. It's clearly very early in the year. We're still in February, but right now, I'm feeling positive about 2025. And I think most importantly, a lot of the building blocks that we need to have in place for another year of growth and margin expansion for CRH are in place.

31m 11s

And it's really the positive market backdrop across our key markets in both The Americas and international, which has given us this confidence. And maybe, firstly, looking at U. S. Infra, it's really underpinned by the continued rollout of the state and the federal funding. We mentioned earlier there, there's only one third of the funding has actually been spent to date and we are actually the biggest beneficiary of the IIJA in areas such as roads, [indiscernible] Energy and all of which are trending positive. In terms of non res in The Americas, we certainly continue to be supported by continued on shoring and reindustrialization. Newbuild in The Americas remains subdued. We think it's really in the short term. It's not a demand issue, but really in affordability. And we are bullish about the medium to long term outlook. Looking across the themes, similar themes across our international portfolio, again, a good underpin on robust on infra and non res.

32m 11s

Non new build res activity is stabilizing at low levels in Western Europe However, we're beginning to see some signs of improvement, some green shoots and some early green shoots in Central And Eastern Europe, and the long term demand remains underpinned So overall, I think an encouraging end use market backdrop We're well set up for 2025 and I feel positive about another year of progress and growth for CRA CRH.

32m 37s

Yes, I'll just pick up there. Jim on that. Just a couple additional things over and above what Jim mentioned with regard to the trends and trading that we see really three notable items I'd like to highlight when you're bridging between or up to the 2025 guidance First up would be the impact of M and A. As we noted, 40 deals, dollars 5,000,000,000 spent in 2024 and our significant Lyme divestment. Altogether, that leads to a positive net scope contribution. Of around $280,000,000 Added to that, we have currency exchange headwind dollars 50,000,000 at the moment compared to current exchange rates, that's due to the slightly stronger dollar. Finally, you'll have seen in the results there today that we 2024 benefited from higher than normal land, our long lived asset sales, Now recycling capital through asset sales is a particular focus for us and an ongoing focus for Seer H. But it's not linear. And so for 2025, we'd expect more normal year Together with that, with the other two items, they're the real three items we'd highlight Okay, that's very helpful. I'll turn it over. Thank you.

34m 2s

Your next question comes from the line of Jerry Revitt with Goldman Sachs. Please go ahead.

34m 8s

Yes.

34m 8s

Hi. Good morning, everyone.

34m 12s

Good morning, Jared. I'm wondering if you could just talk about I'm wondering if you just talk about what the guidance embeds for U. S. Aggregates volume and pricing over the course of the year? And any comments on timing of price increases and volumes in the first quarter versus second quarter? CRH where you folks shake out Yes, Jerry, Randy here. Maybe I'll take that one Maybe if we just take a quick look back for a moment. Coming off a strong 2024, I think we highlighted as other have in our sector have as well kind of the challenges of weather, but volumes in 2024 down roughly 3%, but pricing up 10% and kind of similar impact in and around our cement business Volumes up 1% and pricing plus 8%. So a real positive and I guess I would say momentum as we lead into 2025.

35m 6s

Jim talked about the backdrop, kind of the positive backdrop both in infra and non res. And we're seeing that as it relates to our backlogs as well. So that's the greatest indicator to us in terms of future performance that gives us call it, a six to nine month window in terms of what we should expect. And so when we look for ags in particular next year, we're looking at volumes in the low single digit range in terms of improvement over 24% and pricing in the mid to high single digits. So again, it's supported by the backlog of business. And I'd say know he didn't ask the question, but I'll offer up cement as well as we look into cement another year of positive growth in terms of volume, low single digits. And we're expecting pricing in the mid single digit range versus 2024. But again, I guess that's supportive from the backlogs and the underlying, I'd say, work that we continue to bid and secure Thanks Randy and I appreciate the bonus answer to in there as well. Can I ask in terms of M and A, so typically, see outsized commercial synergies on acquired assets?

36m 16s

A year after acquisitions. And so I'm wondering if you just talk about the assets that you folks acquired over the past year plus you expecting outsized margin improvement on the acquired assets 25% versus 24%?

36m 30s

Yes. I guess when we look at I mean, obviously, that's part of our DNA. The expectation is we acquire companies, bring certain things to that business that they didn't have, right? So it's everything from operational performance commercial engagement with the customers, procurement synergies, to name a few. If you look at the businesses that we bought in 'twenty four, I think we actually called it out through the Hunter acquisition, and we raised our expectations in around synergies and that continues to progress. That deal in particular was was a core asset in a market that we have particular strength and really added to the network of cement producing facilities as well as logistic capability. So it's really a combination of all those things that go into driving underlying performance. Our expectation, I mean, you can name any of the deals, right? We did 40 deals should expect from us kind of what we've historically done, which is added value and improvement in all of those businesses. And I think as we're laying out, as Jim talked about, the expectation is for another year of growth in terms of underlying margins.

37m 37s

Thank you.

37m 39s

Your next question comes from the line of Trey Grooms with Stephens. Please go ahead.

37m 46s

Good morning, everyone. Thanks for taking my question. Yes. So maybe a higher level question for Jim. With your new position as CEO of CRA, should we expect any changes in the strategic direction of the company under your leadership?

38m 4s

Hi, Trey. Good morning and good to hear from you. Trey, as you know, CRH is run by an experienced senior leadership team.

38m 12s

And as CEO, I'm the next year of CRH growth. We've worked very closely over the last decade, formal eight and successfully executing on our differentiated customer connected solution strategy, [indiscernible] you shouldn't you should expect a continuation of this successful strategy. But also leaning more into the areas of innovation and technology trying to making construction quicker simpler, safer and driving continued industry leading performance. Going forward, you should also expect us to maintain a relentless focus on performance delivering consistent double digit growth and margin expansion through the cycle. Now also, as you know, in CRH, we have an industry leading and proven track record of compounding growth. But it's not just growth, but quality growth. And whilst maintaining our financial control and discipline, and of course with all capital allocation decisions assessed through that lens of maximizing value for shareholders. Now last year, remember, Trey, we had the opportunity, we spoke about the strength of our balance sheet To a great start in 2024 with $8,000,000,000 deployed, investing across the construction value chain and increasing our exposure to higher growth markets with secular tailwinds. Now we will continue to proactively manage our portfolio, recycling [indiscernible] and higher returning opportunities.

39m 40s

And for me, that's the real strength of CRH. When you combine our differentiated strategy our unmatched size and scale, our uniquely connected nature of the portfolio we drive consistent outperformance and superior returns for our shareholders. As I mentioned earlier this morning, we're going to have the opportunity later in the year to discuss all this in more detail. To outline our growth ambitions for the business and also the opportunity for everyone to meet the wider management team. Perfect.

40m 12s

Thank you for all that color and best of luck. I'll pass it on.

40m 17s

Your next question comes from the line of Keith Hughes with Truist. Please go ahead.

40m 23s

Thank you. My question is on M and A, obviously a big part of the story here at CRH, but as you look into 25, Is there certain areas you're focusing on and really what I'm getting at [indiscernible] A lot of peers who just want to buy aggregates are mostly aggregates. Talk about how view it you view targets in terms of the mix of aggregates versus ready mix and asphalt, what you can do that others can't do with M and A?

40m 52s

Hi, Keith. Yes, I think, as you know, with CRH, we're really uniquely positioned from an M and A perspective. And really nobody else in our industry has this scale the breadth CRH the financial capacity to grow like we can. And really, it's the connected nature of our portfolio that we have provides multiple avenues for investment, really multiple optionality driving higher growth and superior returns. Now in 2024, we had a really good year. Randy mentioned that $5,000,000,000 invested in 40 acquisitions. That's almost one every ten days. That's not unusual Keith, for us in CRH, and we have a long and successful track record of M and A dating back over fifty years.

41m 33s

Think looking into 2025, we certainly see it as an opportunity rich environment and we have a full and active pipeline supported by significant financial capacity, And I think it is that connected nature of the portfolio, Keith. When we can where we really outperform is where we can build out across our existing footprint in platforms and businesses, which has megatrends supported megatrends in the areas of roads and energy, in water. And when we invest in those businesses in some higher growing regions, higher population growth and where we're really outperforming when we connect those acquisitions acquisitions into our existing platform. That's when we can get real early acceleration on synergies and that's what's been driving a lot of that outperformance in the last five or six years in CRH. So listen, I hope that gives you a bit of color what we're thinking Okay. What other M and As? Brad, this is a very large outdoor living with a whole complement products for outdoor living.

42m 40s

Is there another step here to something that's similar that you would go into with a kind of a theme as you do M and A and that's like a [indiscernible] Keith. I think if you look at the outdoor living, it's actually the area when when we entered The U. S. Almost fifty years ago. That's where we stepped out first. In fact. So that's a business that we've built up over the last fifty years, a really fantastic business. One of the best performing parts of in the last five or six years. It's a business which is fundamentally based off concrete and aggregates. Right? The vast majority of the business is it links back. That's the bloodline for the business. So it really is connected. It's a connected part of that folio. Of our portfolio rather. And going back to the earlier question, it's opportunities like that. When we can acquire businesses like that in fast growing regions, and connect it back into our existing footprint, that's what really makes that's where we outperform.

43m 38s

Your next question comes from the line of Ross Harvey with Davy. Please go ahead.

43m 44s

Hi all and thanks for taking my question.

43m 47s

Wonder, can you provide an update on the cost environment and how you see that playing out over 2025?

43m 54s

Ross, Alan here. Good afternoon. And yes, I'll take this one.

43m 59s

We are still operating in an inflationary cost environment. We see it particularly in the areas of labor, raw material and subcontractor When you put all that together, overall, we expect mid single digit cost increases. And as Randy highlighted earlier, highlights the importance of our continued pricing momentum. In the business. And in that context, I think we should reiterate that underpinned by our customer connected solution strategy, continued focus on commercial excellence and operational excellence, we see 2025 as another year of margin expansion.

44m 41s

Thank you very much.

44m 44s

Your next question comes from the line of Catherine Thompson with Thompson Research. Please go ahead. Hi. Thank you for taking my question today. I wanted to focus on the infrastructure end market You highlighted your top two states, Texas and Florida. TechStop remains a leader with state funding with $75,000,000,000 of projects slated to start over the next four years. And the Florida DOT has a ten year construction only spending forecast of a little over $100,000,000,000 Against that backdrop, a bit has changed since November Of The Election And There's Some Rumblings About Concerns With U. S. Infrastructure funding. What are CRH's thoughts balancing very strong state funding measures along with your thoughts on federal funding for infrastructure? Thank you.

45m 42s

Yes. Thanks, Catherine. It's Randy here.

45m 46s

You presented the facts well, right? Under real strong underlying investment certainly in in key states for us in Texas and Florida. But I guess if you take a step back, and you've been around as well for a while covering the sector, for sure. Infrastructure investment has historically been bipartisan. And I think there's nothing going to change in terms of our view in regards to the administration. As you call out, it's the combination really of the investment through IIJA plus the states that gives us a lot of encouragement. I think it's a beautiful combination between the underlying activity to maintain the existing infrastructure, but also what we're seeing is is longer term projects, multiyear projects, that deal with capacity expansion in states like you called out. And so it's it's that underlying investment, the understanding, look, the current administration has a history of understanding what it takes to build and move economies along. So I don't think see anything changing. In fact, if you listen to what the the new transportation secretary says around wanting to go after big infrastructure projects and eliminate the red tape, which will speed up execution. I think that's obviously a supportive comment.

47m 3s

But we're coming off and certainly at historic levels of state and federal funding, but it's just the beginning. I called out just a comment in around only a third of the underlying funding has been deployed. I think we're in terrific position to take advantage of that longer term. I think we maybe even said it last year that we thought this was this five year bill was actually going to take seven years. I'd say it's probably still trending that way. And our top five states, will be the net receiver of about 20% of the overall funding in IIJA. So I think we're strategically well placed. And I guess for us, and I mentioned it earlier in around kind of pricing environment, the backlogs would be indicative of that kind of momentum. So we're bidding more, we're securing our our share of work. So volumes, dollars and most importantly, margins are improving. So but I think generally, there's an understanding with this administration or others are at the state levels that when The U. S. Infrastructure is strong, the overall economy is strong.

48m 8s

Great. Thank you very much. We have time for one more question and that question comes from the line of Gregor Kuklitsch with UBS. Hi there. Good morning. So my question is on margins. So last year, I think it was up another sort of nearly 200 bps very strong. So my question to you is where are we on that journey and how much more upside do you think there is in the margin trajectory for the business? Thank you.

48m 38s

Hi, Gregor. Yes, last year 2024, yes, another strong year for margin expansion. 80 basis points. And in fact, what we're most proud of is that that's the eleventh consecutive year of margin expansion. And over that period, we've delivered 900 basis points of improvement, effectively doubling our margin over that period and really benefiting from our differentiated and customer connected solutions model and that ability we have to play across the construction value chain. Over that period, we've been leveraging the scale and scope of the organization, delivering consistent year on year improvement. As you know in CRH CRH, we have a really deeply embedded culture of continuous business improvement right across the business, right? And that entails really relentless focus on operational and commercial excellence, really strict cost control and particularly since the great financial crisis, we've had a real strong focus in trying to variableize as much of our cost base as we can over the last decade. That together with really active portfolio management, reallocating capital to higher growth and higher margin businesses. And as we announced last year, the very significant step up in our growth CapEx, which is also helping to drive margin expansion.

49m 52s

So a lot of progress made, stepping off a good year again in 2024, but we certainly by no means have reached the limit of our margin ambitions. It's really it's this is the journey we're on, Gregor. It's not a destination in terms of margin expansion.

50m 11s

Thank you very much.

50m 13s

Well, I think that's all we have time for today. I'd like to thank everybody for your participation. I hope we've managed to answer all of your questions. But as always, if you have any follow on questions, please feel free to get in touch with our Investor Relations team. We look forward to talking to you again in May when we will report our first quarter results.

50m 35s

Thank you. Your conference call has now ended and you may disconnect.

Key Insights

CRH reported strong financial performance for 2024, with total revenues of $35.6 billion (up 2% YoY), adjusted EBITDA of $6.9 billion (up 12% YoY), and an 18% increase in earnings per share. Margins expanded by 180 basis points, marking the eleventh consecutive year of margin improvement.
The company invested $5 billion in 40 acquisitions during 2024, including significant deals in Texas and Australia, adding over 1 billion tons of aggregate reserves. These acquisitions are expected to drive synergies and further growth, particularly in high-growth regions like Texas, Florida, and California.
CRH provided financial guidance for 2025, projecting adjusted EBITDA between $7.3 billion and $7.7 billion, net income between $3.7 billion and $4.1 billion, and diluted EPS between $5.34 and $5.80. The company anticipates continued margin expansion supported by pricing momentum and operational efficiencies.
Infrastructure remains a key growth driver, with U.S. federal and state funding under the IIJA providing a significant runway for projects. Only one-third of IIJA highway funds have been deployed to date, and CRH is well-positioned to benefit from this funding, particularly in its top markets like Texas and Florida.
The company emphasized its disciplined capital allocation strategy, with $8 billion deployed in 2024 across M&A, growth CapEx, dividends, and share buybacks. CRH plans to continue leveraging its scale and connected portfolio to drive consistent growth, margin expansion, and shareholder value creation.

Recent Transcripts

CRH achieved double-digit profit growth and margin expansion in 2024.

Income Statement

Revenue

	2020	2021	2022	2023	2024
Revenue	$28B	$31B	$33B	$35B	$36B
Cost of Revenue	$18B	$20B	$22B	$23B	$23B
Gross Profit	$9.2B	$10B	$11B	$12B	$13B
Gross Profit %	33%	34%	33%	34%	36%
R&D Expenses	$0	$0	$0	$0	$0

2020

2021

2022

2023

2024

Revenue

$28B

$31B

$33B

$35B

$36B

Cost of Revenue

$18B

$20B

$22B

$23B

Gross Profit

$9.2B

$10B

$11B

$12B

$13B

Gross Profit %

33%

34%

33%

34%

36%

R&D Expenses

Cash Flow

Net Income

	2020	2021	2022	2023	2024
Net Income	$1.1B	$2.6B	$3.9B	$3.1B	$3.5B
Dep. & Amort.	$1.6B	$1.6B	$1.6B	$1.6B	$1.8B
Def. Tax	$0	$0	-$63M	-$64M	$180M
Stock Comp.	$96M	$110M	$101M	$123M	$125M
Chg. in WC	$321M	-$1.2B	-$1B	-$447M	$0

2020

2021

2022

2023

2024

Net Income

$1.1B

$2.6B

$3.9B

$3.1B

$3.5B

Dep. & Amort.

$1.6B

$1.8B

Def. Tax

-$63M

-$64M

$180M

Stock Comp.

$96M

$110M

$101M

$123M

$125M

Chg. in WC

$321M

-$1.2B

-$1B

-$447M

Balance Sheet

Cash

	2020	2021	2022	2023	2024
Cash	$7.7B	$5.8B	$5.9B	$6.3B	$3.7B
ST Investments	-$509M	-$336M	$14M	$11M	$0
Cash & ST Inv.	$7.7B	$5.8B	$5.9B	$6.3B	$3.7B
Receivables	$0	$0	$4.3B	$4.5B	$4.8B
Inventory	$3.1B	$3.6B	$4.2B	$4.3B	$4.8B

2020

2021

2022

2023

2024

Cash

$7.7B

$5.8B

$5.9B

$6.3B

$3.7B

ST Investments

-$509M

-$336M

$14M

$11M

Cash & ST Inv.

$7.7B

$5.8B

$5.9B

$6.3B

$3.7B

Receivables

$4.3B

$4.5B

$4.8B

Inventory

$3.1B

$3.6B

$4.2B

$4.3B

$4.8B

Go Deeper

Financial information provided by Financial Modeling Prep. Options data provided by Unusual Whales. Live transcripts provided by Quartr. All data is provided for informational purposes only, and is not intended for trading purposes or financial, investment, tax, legal, accounting or other advice. · See all tickers.

OverviewOverview
News & Market InsightsNews & Market Insights
EarningsEarnings
Income StatementIncome Statement
Cash FlowCash Flow
Balance SheetBalance Sheet
RelatedRelated

Earnings

Report Date

—

Rev Estimate

—

Avg 1d Change

3.24%

Report Period

H2 2024

EPS Estimate

—

Implied Move 1d

—

Transcript

4m 55s

Thanks, Jim. Hello, everyone.

4m 57s

5m 31s

7m 3s

8m 37s

10m 9s

10m 21s

11m 47s

13m 7s

14m 34s

Thanks, Randy, and hello, everyone. Turning now to Slide 10, and the key components of our adjusted EBITDA performance.

14m 42s

16m 15s

17m 57s

19m 20s

20m 32s

22m 1s

23m 5s

24m 39s

26m 19s

27m 56s

29m 14s

29m 58s

Thank you. Our first question comes from Anthony Pettinari with Citigroup. Please go ahead.

30m 17s

Good morning.

30m 19s

30m 38s

31m 11s

32m 11s

32m 37s

34m 2s

Your next question comes from the line of Jerry Revitt with Goldman Sachs. Please go ahead.

34m 8s

Yes.

34m 8s

Hi. Good morning, everyone.

34m 12s

35m 6s

36m 16s

36m 30s

37m 37s

Thank you.

37m 39s

Your next question comes from the line of Trey Grooms with Stephens. Please go ahead.

37m 46s

38m 4s

Hi, Trey. Good morning and good to hear from you. Trey, as you know, CRH is run by an experienced senior leadership team.

38m 12s

39m 40s

40m 12s

Thank you for all that color and best of luck. I'll pass it on.

40m 17s

Your next question comes from the line of Keith Hughes with Truist. Please go ahead.

40m 23s

40m 52s

41m 33s

42m 40s

43m 38s

Your next question comes from the line of Ross Harvey with Davy. Please go ahead.

43m 44s

Hi all and thanks for taking my question.

43m 47s

Wonder, can you provide an update on the cost environment and how you see that playing out over 2025?

43m 54s

Ross, Alan here. Good afternoon. And yes, I'll take this one.

43m 59s

44m 41s

Thank you very much.

44m 44s

45m 42s

Yes. Thanks, Catherine. It's Randy here.

45m 46s

47m 3s

48m 8s

48m 38s

49m 52s

50m 11s

Thank you very much.

50m 13s

50m 35s

Thank you. Your conference call has now ended and you may disconnect.

Key Insights

CRH reported strong financial performance for 2024, with total revenues of $35.6 billion (up 2% YoY), adjusted EBITDA of $6.9 billion (up 12% YoY), and an 18% increase in earnings per share. Margins expanded by 180 basis points, marking the eleventh consecutive year of margin improvement.
The company invested $5 billion in 40 acquisitions during 2024, including significant deals in Texas and Australia, adding over 1 billion tons of aggregate reserves. These acquisitions are expected to drive synergies and further growth, particularly in high-growth regions like Texas, Florida, and California.
CRH provided financial guidance for 2025, projecting adjusted EBITDA between $7.3 billion and $7.7 billion, net income between $3.7 billion and $4.1 billion, and diluted EPS between $5.34 and $5.80. The company anticipates continued margin expansion supported by pricing momentum and operational efficiencies.
Infrastructure remains a key growth driver, with U.S. federal and state funding under the IIJA providing a significant runway for projects. Only one-third of IIJA highway funds have been deployed to date, and CRH is well-positioned to benefit from this funding, particularly in its top markets like Texas and Florida.
The company emphasized its disciplined capital allocation strategy, with $8 billion deployed in 2024 across M&A, growth CapEx, dividends, and share buybacks. CRH plans to continue leveraging its scale and connected portfolio to drive consistent growth, margin expansion, and shareholder value creation.

CRH plc Price & Performance (CRH)

Stock Performance

Open

High

Low

Market Cap

P/E Ratio

Volume

Year High

Year Low

Dividend Yield

News & Market Insights

What's Happening

Peers

Earnings

Report Date

Rev Estimate

Avg 1d Change

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EPS Estimate

Implied Move 1d

Transcript

Key Insights

Recent Transcripts

Income Statement

Cash Flow

Balance Sheet

Go Deeper

Related

Go Deeper

News & Market Insights

Recent Transcripts

Earnings

Report Date

Rev Estimate

Avg 1d Change

Report Period

EPS Estimate

Implied Move 1d

Transcript

Key Insights