Good half-year results for Heidelberg Materials

Revenue growth, cost management and easing of energy costs contribute to positive results

HEIDELBERG Materials have reported a good result for the first six months of 2023 to 30 June. Revenue rose by 5.3% compared with the previous year to €10,473 million (H1 2022: €9,950). Excluding scope and currency effects, the increase amounted to 8.5%.

The result from current operations experienced a rise of 31.0% to €1,189 million (H1 2022: €908) (+37.5% on a like-for-like basis). In addition to revenue growth, continuous cost management and the slight easing on the energy and raw materials markets in particular contributed to the positive development of results.

Profit for the period totalled €783 million (H1 2022: €597). Earnings per share adjusted for the additional ordinary result attributable to Heidelberg Materials AG shareholders increased by €0.49 to €3.64 (H1 2022: €3.15).

Heidelberg Materials say the good order situation for infrastructure projects and parts of the commercial construction sector should partly compensate for the decline in residential construction. Energy prices have eased in the first half of 2023, but they remain volatile and still well above previous years’ levels.

Against this backdrop, the company is once again upgrading its outlook for the 2023 financial year. While Heidelberg Materials continue to expect a moderate increase in revenue (excluding scope and exchange rate effects) compared with the previous year, they now anticipate a result from current operations of €2.7 billion to €2.9 billion (Q1 2023 forecast: €2.50 billion to €2.65 billion).

Commenting on the first-half results, Dr Dominik von Achten, chairman of the managing board of Heidelberg Materials, said: ‘We have closed the first half of 2023 with a good result. Even in a weaker market environment, with significant declines in sales volumes in some cases, we performed quite well. We remain confident about the second half of the year and are once again upgrading our outlook for 2023 significantly.’