Heidelberg Materials posts record results for 2023

Heidelberg Materials has announced ‘outstanding’ financial results, with record revenue and earnings for the 12 months ended 31 December 2023. The company reported a 4% increase in revenue compared with the previous year to €21,178 million (2022: €21,095 million), despite what it described as a ‘weak market environment’. 

The result from current operations (RCO) rose by 29% to €3.0 billion YoY (Year over Year) whilst return on invested capital (ROIC) increased to 10.3% in 2023, compared to 9.1% in 2022, exceeding 10% for the first time. 

‘Despite a persistently difficult market environment, we closed the past financial year with a record result,’ commented Dr Dominik von Achten, chairman of the managing board of Heidelberg Materials.

‘We achieved new all-time peaks in all our key figures. In the 150th year of our company’s history, we have once again shown that we can deal with change and crises. I am extremely proud of our teams around the world, who have remained firmly focused on our targets and have once again done an extraordinary job.’

As part of its sustainability ambitions, Heidelberg Materials reported a further 3% reduction in specific net carbon emissions, compared to the previous year. This was attributed to a reduced clinker ratio and increased use of non-fossil fuels, as well as the company expanding a wider range of low-carbon and circular products, including its evoBuild and evoZero brands.

Looking ahead, Heidelberg Materials expects 2024 to see demand in the construction sector stabilise at a low level and costs in the energy and raw materials markets to remain volatile. The focus for the business will, therefore, be on price adjustments and strict cost management in the global building materials markets.