CRH posts record earnings amid 'good' demand

Building materials group CRH reported record earnings for 2018 on Thursday, thanks in part to good demand in the US.

In the year to 31 December 2018, group profit rose 31% to €2.52bn as revenue pushed up 6% to €26.79bn. Meanwhile, earnings before interest, tax, depreciation and amortisation increased 7% to a record €3.37bn.

Like-for-like sales were up 3% in the year, with sales in Europe and the Americas 2% and 4% higher, respectively, and sales in Asia up 8%.

The company proposed a dividend of 72 cents a share, up 6% on the year.

Chief executive Albert Manifold said: "2018 was another year of record profit delivery for CRH. We benefited from good demand and continued favourable market fundamentals in the Americas coupled with positive underlying momentum in Europe. Both were experienced against a backdrop of energy-related input cost inflation and significant weather disruption throughout the year but with a continued focus on performance improvement and operational delivery, margins were ahead of last year.

"CRH remains well positioned to build upon the gains made in 2018. With a relentless focus on continuous business improvement, margin expansion, cash generation and returns for shareholders, together with continued strong financial discipline and efficient allocation of capital, we believe 2019 will be a year of progress and further growth for the group."

At 0815 GMT, the shares were up 0.8% to 2,378p.