Holcim’s Q1 2012 report: Growing demand for construction materials
In Holcim‘s first-quarter 2012 earnings report, the company says that due to good economic conditions in Asia and Latin America and growing demand for construction materials in North America and Africa Middle East consolidated cement deliveries increased.
Higher shipments were achieved particularly by the Group companies in India, the US, Thailand, the Philippines and Indonesia as well as in Russia and Azerbaijan.
However, in contrast to last year’s mild climate, the harsh winter brought many construction sites in Western and Eastern Europe to a temporary standstill in February. Hence, sales volumes decreased in this Group region in all segments and impacted first quarter results.
Holcim achieved better prices in various markets. Overall, the Group achieved an operating EBITDA close to last year, and like-for-like operating EBITDA growth reached 5.5 percent.
Consolidated cement sales increased by 6.2 percent to 35.2 million tonnes, and
deliveries of aggregates were down by 7.8 percent to 31.6 million tonnes. Volumes of
ready-mix concrete decreased by 0.3 percent to 10.4 million cubic meters, and asphalt
sales declined by 18.4 percent to 1.4 million tonnes.
With shipments of cement up by more than 1.8 million tonnes, Asia Pacific was well
ahead in terms of volume, mainly due to India. In aggregates, Group region Africa Middle
East achieved the highest growth rate. In ready-mix concrete, North America recorded
the highest volume growth, mainly due to the full incorporation of Lattimore Materials in
Texas in March of last year, and the first-time consolidation of Ennstone in Virginia in
A positive development is the fact that Holcim was able to mostly pass on cost increases
through higher sales prices in all segments and in all Group regions, with the exception of
Africa Middle East.
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