CRH (CRH) 10 May 242024 Q1 Earnings call transcript

Good day, and welcome to the CRH plc First Quarter 2024 Results Presentation. My name is Christa, and I will be your operator today. [Operator Instructions] At this time, I'd like to turn the conference over to Albert Manifold, CRH Chief Executive Officer, to begin the conference. Please go ahead, sir.

Hello, everyone. Group quarter and and X CRH welcome all conference here, our to XXXX Manifold Chief you're Executive, very call. Albert results presentation

Group Operating on Randy Head me the is Relations. Mintern, Joining call of Investor Lake, and Officer; our Chief Tom Holmes, Jim CFO;

opening get brief I'll for started, we you over Before Tom to hand some remarks.

Thanks, everyone. Hello, Albert.

screen. your X shown Slide we today's begin to proceedings, Before on I'd the attention like to draw here

plans and During actual we future relating be to certain some to making results could differ and statements These today's materially the forward-looking expectations. risks slide. this due presentation, will on outcomes uncertainties, subject are to our and outlined factors and

our slide, For annual which other report website. more and on filings, please details, to this our SEC available refer are

to and some Jim now I for Randy we open over will remarks. prepared Q&A the hand deliver a will line that, After to session. Albert,

Thanks, Tom.

you the recent highlighting as our Over the we'll first with so, and the year brief you take for our performance of drivers this X activities as as morning development whole. on a a allocation providing XX an published the months of expectations the minutes next the update our operating we've year, through capital for presentation of key well or results

be all so. to you told, Afterwards, in that we'll XX and available or minutes take we have, done may questions any about should be

weather in markets. positive good momentum, start benefits quarter of and year Further activity to X, messages continues significant as early Overall, margin adjusted the in business. season our EBITDA the key by from been well year Slide to some growth and a on project what results. compared seasonally strategy our to First, period prior is today's key conditions in underpinned for the least integrated the some revenues, pricing solutions it's as be benign

for year, and our XXXX. we're guidance to very the pleased it's market the to early the previous Notwithstanding still in reaffirm to start the good construction season

to $X.XX Assuming normal represent we dislocations CRH. and between be $X.XX full in seasonal and of strong another adjusted billion, for will year delivery macroeconomic no major the billion weather patterns environment, EBITDA year expect group which

As very to markets acquisition developing to increasing high-growth been and months, we've the shareholders. our for you most our active recent deliver in exposure attractive solutions front our strategically our value of further customers and know, capabilities on

the which the of In and building of acquisition position readymixed #X February, United in completed in assets strengthen the in our operations billion our and investment, state we cement States. $X.X will the as concrete fastest-growing Texas, a portfolio further business materials significant

we've later. approximately through Randy So rate run of detail far, identified synergies $XX a more you in little and will million, that take

substantial we In Northern this California, into and reserves a integrated a Solutions acquired asphalt April, business for Materials aggs business due point an to Americas virtually attractive our and concrete readymixed market operations. in representing materials entry

We a leading independent regulatory Adbri, materials in majority transaction building to that in to recently announced proposal in shareholder a stake and And provider to expect Australia. a subject approval. Adbri close we XXXX, acquire of

significant return our balance enables to also The us to of continue shareholders. amounts strength of sheet cash to our

$XXX representing million, has billion. of tranche of approximately an quarterly annual this Our rate million we're buyback $X.X year. a further today, returned program approximately ongoing And $XXX share so run announcing far

prior annualized and growth. with our position financial Following on of $X.XX our transition payments, share, the quarterly a per to X% has of consistent year, dividend increase quarterly of line new in the an long-term Board dividend declared policy representing dividend strong

the EBITDA, period. all financial first key highlights for prior our of ahead EPS margin with year. a year Turning the X X to Overall, of months metrics the all good adjusted performance and Slide across revenues, and

improvement, reflecting further and $X.X EBITDA revenues further of solutions ahead a million, benefits of $XXX efficiencies. control our continued adjusted XX and into Total translated the XX% margin of operational of cost ahead. This X% strategy, basis billion integrated were disciplined points

to the to point, over hand take you you through I'll operating this of performance at Now Randy our of businesses. each

everyone. Albert. Thanks, Hello,

to start positive Materials pricing which America in to acquisitions. with had Solutions, supported Turning lines favorable a by certain good markets year, X and the the across business, start of key contributions Slide from and weather all

All resulted of year ahead in this XX% prior period. revenue total of the

year Lake XX% Essential ahead quarter Materials, region and States. the Great of first good activity In the revenues with West were the in levels United prior

mix being despite geographic our X%. Our aggregates increased impacted adversely pricing pricing cement while increased by X% by by

of with ahead In in year QX period. demand, together resulted progression the good concrete, readymixed and Road price prior Solutions, revenue further asphalt XX% in

our and course, worth Solutions and from of Material timing only quarter of maintenance the can program, with XX% you typically how is XX% period annual an Of for adjusted annual that our the noting see seasonally volumes. it's also seasonal, Americas is accounts perspective. and insignificant Combined first margin between this particularly EBITDA

portfolio Texas. cement of As assets readymixed Albert recently a completed in of concrete and our mentioned, we acquisition

report integrating and assets on with our is delivering existing line integration now And to we've focus on opportunities business early the I'm our expectations. progressing these is growth in and that and synergies pleased the Our identified. into that well

Turning markets our North America. end which to our exposure and to represents first largest infrastructure, in

IIJA by the the the initiatives funding in momentum federal with in well significant Here, through at positive is increase the backdrop underpinned level. funding as robust funding as state transportation demand U.S.

increased demand in supported to also good We significant and the funding by continued industrial also sectors, and onshoring manufacturing are activity. federal experience which

reflects increase I'm now through. are gets fully momentum markets, seeing the and the across as activity underway construction our the U.S. ahead, Looking in significant that backlogs, coming many in funds bidding our of we're encouraged infrastructure by season our which

to impacting Solutions public our acquisitions. and quarter, benefit Infrastructure continues X, utility levels conditions & residential critical infrastructure. new weather experienced investment activity and to the from benefiting during control has Americas subdued demand Building the year build pricing, to business first positive recent significant and unfavorable which cost also Slide from a on delivery Solutions some good good from Building Next, start Notwithstanding

with first and demand the resilient had Solutions season driven by Living Outdoor revenues ahead X% and early activity. start professional and retail both good remodel the a quarter good in residential to year channels repair

X% Solutions further revenue total translated a basis growth adjusted of increase in overall, Building and X% XX improvement. Americas For margin points a of EBITDA into

year. was Moving rainfall costs and growth Europe Europe to Solutions. on now cost and activity the to performance Central operational EBITDA lower with first levels across of by the our management and further our focus during XX% Eastern markets, impacting of Western and good ahead delivered on European record Slide commercial prior energy efficiencies. Despite This management, ongoing X, adjusted in key our driven Materials in performance first Europe business the across several quarter, a strong markets

and While underpinned infrastructure funding residential remained EU to segments subdued, be programs. demand continue and nonresidential by government

our results Our our in the second half European Phase operations. also phase, divestiture consisting and of X Lime X of first operations XXXX. quarter of The to lime of in Poland, final reflect is complete the expected

conditions Building and much Solutions the businesses. subdued rest XXXX compounded across to weather residential Europe is adjusted to EBITDA start exposed more new smallest of performance impacted the markets. This our Slide on our less challenging build of and by representing in Next our by Overall, activity of year, business, construction X. the adverse residential to a it's X% than group than

momentum to the positive and operational on to of our management levels efficiencies well as activity lower continue impact protect as We to mitigate pricing cost profitability. focus maintaining

financial in over Jim detail. this to So take performance to through hand I'll you you further point, at our

Thanks, Randy, everyone. hello, and

As heard good we've you to and this on earlier, financial reflected from year is outlined a had performance the start our Albert XX. in Slide

moving from EBITDA performance, briefly the drivers of main take left you through on adjusted right our me Let the slide. to

like-for-like a of the Starting growth input our ahead demand differentiated benefits reflecting of further underlying with key amid and environment organic markets, strategy. a $XX on our progress basis an inflationary XX% in pricing continued good million, cost

of divestitures, X further reflecting $XX of European X the materials Texas from EBITDA adjusted and operations. of in our a the net acquisition Acquisitions, divestiture delivered Phases of our of assets million and contribution Lime of the primarily impact

Overall, significant and to what we a of ahead adjusted year good least million representing our XX% the $XXX seasonally prior start period. delivered period is of in year the EBITDA,

highlight balance take XX, Next, moment and a some our and movements to of sheet. debt to the I just net our strong components key flexible Slide where of will

position with debt left-hand ended the see on billion. net Firstly, can XXXX side, we you $X.X of a

expected second given of flow of the We approximately as nature reported outflow reflects year $XXX seasonal third a and are be advance to seasonally is business the which buildup in our important net it An cash our of periods. first capital outflow in of trading flow trading, in the our performance. cash quarter. most million to at the Turning this stage quarter working

divestiture of and assets European and the an resulted Acquisitions, initial items billion months Lime of acquisition Texas phases net of $X.X other the materials X of from during approximately the proceeds the of outflow operations. in divestitures XXXX, reflecting primarily first of our the in

expenditure existing capital in also support We business. in invested to further million growth $XXX our

form demonstrating and dividends And we share returning shareholders. to in returned the $X.X of buybacks, our to cash our commitment billion

Taking of results position quarter, basis. a the on a representing net net of the this billion approximately all debt EBITDA into trailing in debt-to-adjusted first $X.X account X.Xx a of end of at XX-month ratio

is today's stage, Now to Active we management you allocating value reallocating are we a update capital portfolio create on continuous in a at our other items few for constantly process this and like CRH, and shareholders. announcement. from would to our briefly

so we in have can regard year. you active Slide As on far XX, see here this been very this

phases initial our European completed In operations, in certain addition materials the divestiture Canada. to the April, assets Lime also of of we and cement of the in divestiture

completion leading opportunities in and complement acquisitions acquire a assets in front, competencies to Australian growth entered and of addition in the On and provider acquisition our in to we while majority that core Australia. asset stake aggregates has February, materials in existing creating for concrete binding the businesses. Adbri cement, in Texas into materials Adbri, additional positions high-quality agreement building a leading a of development the our for market

proposed to approval to complete The in and Adbri transaction expected subject XXXX. shareholder is regulatory and is

including Americas vertically hard reserves In a into asphalt and operations. BoDean, Materials Solutions solutions acquired and hard materials business, we point California to rock our business, entry for concrete This first quarries represents particularly integrated readymixed April, California. two attractive in an a substantial rock due

also acquisitions, living. critical We $XXX road developing our outdoor further utility approximately and bolt-on areas strategy seven of invested infrastructure infrastructure, strategic on solutions million in the integrated

further high-growth where this develop can allocating commitment of and and reallocating markets our attractive solutions our areas we integrated represents capital strategy. All activity into to

Texas. I'll you of the point, this materials assets our in at acquisition update identified have hand billion on of to $X.X Randy we over the Now synergies following completion to

to Thanks, outlined $XX we've the million Jim. XX, by I'm expected anticipated side right-hand expect pleased rate run Slide approximately we've year of the identified report which achieved in we approximately on year. be the X. with of And synergies, to that phasing $XX million first

with fit Texas, strategic arise There are that businesses. our into result, significant a to are CRH. from as They're excellent existing there benefits operations opportunities solutions assets our in significant downstream integrating an self-supply own and

will point logistics customers footprint. will wider be a very service materials It be in network efficient It flow, also more of optimization regional allow much to us how across beneficial our we from we manage our our how and our view.

synergies and improve wider production from usage We've also through efficiencies leveraging businesses increased identified alternative Europe significant and America plant platform Materials from improvements, technical North and capabilities of and expertise to raw our materials. optimize cement fuels operational our performance

materials, scale, savings services. There arrangements assets these leveraging global our for supply and by are power to integrating and purchasing procurement into be also generated network, our equipment

summary, look forward you updating is we and in integration the our progressing on early to well progress. So

tangible of there our benefits see and some Great real Thanks, and examples value-creation we under opportunities of Randy. ownership. that the

Now update our on markets. me on an our provide expectations thoughts for you let outlook the full the with our year, across I before share

EBITDA Slide Europe. XX% in with America XX. to our the North XX% adjusted represents Turning of remaining

First, infrastructure, exposure our the to represents which business. for largest

underpinned continued is Here, state investment. robust the United once-in-a-generation States in outlook by federal the rollout of with demand and the

supported infrastructure continue, in Europe, funding significant and government from EU investment by demand programs. expect in we Similarly robust activity to

and In increased to expect nonresidential, onshoring continue from we segments activity. benefit key to reindustrialization

Reduction CHIPS the energy, manufacturing passing In and Act funding and critical Inflation and by of supported Act. clean increased high-tech United States, for investment utilities federal the the in $XXX billion of following this is Science the

benefiting $XXX over high-tech onshore with pipeline. activity projects in is Europe of increased manufacturing the on also billion

not to of fundamentals by remain long-term levels In residential Europe construction remain segment, to environment. This attractive and due believe is we we and new a these issue, supported the build caused demand the affordability interest residential demographics markets in rate and challenges expect activity the in for very underbuild. subdued current by the favorable U.S. significant

construction supported build the remain positive residential our key in So summary, is in trend while new overall infrastructure demand is nonresidential for segments by to business expected subdued. and robust

to momentum integrated as of positive strategy. expect our the and we disciplined across environment, as solutions value-focused continue our management by pricing commercial the Regarding markets, benefits supported well

our backdrop, Turning have to for this against financial reaffirmed morning XX. Slide guidance we XXXX. And that

dislocations Assuming full environment, for another billion to $X.XX between normal of delivery representing adjusted the between weather and $X.X the in and to year billion, per of $X.XX, year the macroeconomic and remainder year to EBITDA group be $X.XX major $X.XX income patterns $X.XX and CRH. no earnings for be share and billion expect between we net billion strong

across It's still season in but we on update as very unfolds year markets. gets and season, early our construction our course, will, fully the expectations the underway of you the

our back Q&A the and take to we're of that call. today So Instructions]. to now presentation the session your hand coordinate you happy concludes I'll [Operator now our questions. to moderator

Anthony Citi. Pettinari [Operator comes Instructions] Your first of the line from question from

and in on double for and pricing if the I was pricing? or about you dynamics are talk guiding still cost price to Materials, year you wondering Americas could digits

for X%. pricing, Anthony, QX, in aggregate was of question. thanks terms the Yes, up

by I associated the mix seasonality bit just we have, progress platform businesses a there. think with impacted and geographic the so good of that's

look consistent of with the year. we really you what digits, at on the pricing which mix-adjusted was a basis, up is If double beginning indicated

good strong as pricing in support, of underlying So cement in and there's terms momentum really agg well.

we're by X% again, up a seen the the progress supported cement, across terms demand. group, So in underlying happy good with of we've

weakness Texas the the talk in And maybe part see of just of that seeing the would some helpful. characterize That's state state how southern you Hunter, Okay. kind about then the And in cement? pricing can of Or are with you you any maybe Texas? cement imports? current there,

seeing guess characterize support Texas. similar to concerns good I we're no what I very would across really in nation, pricing. the it so seeing We're for

XXXX. quarter by positive First expect weather, pricing throughout take impacted we was so go as But that we consideration. we certainly into

cement. I'd But not just Texas, call out

aggs, really I asphalt, downstream it's the it's well. as all it's concrete, think it's readymixed businesses

So good we expect support see and in progress XXXX.

line Research the from comes of Kathryn Thompson question Thompson with next Your Group.

First is outlook. the just on

much volumes stronger-than-expected in give Could had favorable color factors? or market. more in that fundamental other you is of the how little of U.S. You bit versus a demand weather terms

with backlog that. along on the then and for that, trends color year And

of favorable probably kind Ohio mix both. the Yes. was guess Appreciate I question. called weather it's think I Lakes that of region, out Great a area. Certainly, in, for we've Michigan, us the

some that on. in and significant probably and we've Utah by weather, there, weather. pretty able helped kind backlog demand but good So also Idaho, specifically again, of execute West, had favorable projects Out our to

aggregate volume I overall XX% year. in of kind think it's pretty question shift supported important it's to terms to guess, have have backlogs and it good than remember It's our are backlogs, of or again today. in material your our in to though, shipments. momentum for the and total terms, what it's reflects early But total on -- I the less percentages absolute low we of that

those are which businesses up in see. state and of share good lines We're see business, activities. our funding underlying actually is both initiatives and of to federal in all you through bid So terms getting of coming margins

both the business work I about backlogs our the good also critical Roads demand. associated roads. we often there, with underlying reflect out underground kind talk would of businesses, would don't both the that's And but utility infrastructure, the the call

Great. follow-up to question and Texas Okay. related And cement. one

cement which shortage to net primary due to Some conversely business. for issues with a a positive recently, has research of our of a be supplier fly ash pointed could your

mean a U.S. year and does business, have not few tightening when you for back picture, just out? years out what Stepping as looking for bigger fly in this you ash, supply but look plants the of CRH's coal-fired the at phased and the this

in it's markets. in question. the terms good and SCMs of individual use We've our introduction been of proactive been We've a --

broaden say So it I not but and forth. ash, think at I'd just so to materials, pozzolans fly looking alternative

to the we And but two, the integrate our have capabilities, customers; to blend; access one, importantly, three, for more it. to

I our in to fly think So transport shortage alternatives to is but major ability overall a to in terms positioned good deal kind of markets, certainly mix. with ash, product those whether reports, of then consume and what we're well the

course, as have blending decade well. capability here Randy, well, I of we issue a should European terms with in of in in our say of this dealing technology business as and

big advantage at the the current U.S. rolls So time. here to as a in that's us it out

Ross comes Your Harvey with next question from Davy.

M&A. maybe elaborate pluses performance I'm new you guidance. the elaborate further strong in in today hoping synergies, you you've that? 'XX see on a reaffirmed the and guidance, can good the on that minuses just QX you relation there, I to know Can it just

And very acquisition. Ross. the material the we've Jim to We've but end attractive here. start active eight issued on the February, year, guidance California we M&A. the BoDean in with us, had including to good been for early It's into entry the of still date, the here since been season the it's at a bolt-ons

Texas We've also the morning announced this synergies.

So current the year in million that's X $XX by million synergies and year XXXX. $XX

bolt-ons the announced assets largely the which Xst However, contributions the the the and are April. Quebec, the Texas cement offset we by of in divestment from that materials of closed on synergies and

you there's So million to million acquisition plus the in set not much of doesn't that them kind out difference and that bolt-ons from potentially when But include to kind February of any we minuses, the on overall, $XX of of contribution 'XX. just contribution end from $XX put the in the of closure the confirm, a Australia. in the from Adbri of together, terms

our full pluses year and to So a happy good It's this and able reaffirm the be to guidance the morning year. overall, we're minuses. to start for

incredible here. on there's first the short is months it But of know an I Look, year. it's the snapshot. Ross, X Albert a focus literally

a had backlogs And look us the we've half the sure, strong here, good as for look year, take Look, here. back and step first be the -- we look continues of a to start mentioned, through strong. as take just year. Randy let's to And

So a that. place we're be and good happy in to

again, and indeed of United seeing, of But sector. the both commercial industry, major to for let's the we back levels onshoring On in demand backed at our here. stages top significant spend of for that, just growth by reshoring Like take Europe. that's are early step States infrastructure we're cycle a in and in support government the very going a investment unprecedented both drive

an forward X, industry looking about decade. So honestly, we're X, as we're the I the as pretty to way next know talking in results all end X the I the good of years, X quarter look today,

and look very the long CRH. for So medium positive term term, the all short the term,

Now want against about months that our backdrop, in is of I know first X focus talk business you but three areas. to the the main this year, on

Of an execution work we Every cash. day course, it's performance at performance. number our terms the that delivering in of profitability one, operational of

think important businesses, in the investing cycle invest at I growth is next to two, for major now it's the cycle. Number this of our growth crucially start

disciplined And this from about we're to We expect next of number stewards over you're year, as of cash And three, with free years, we to doing X be starting continue capital. see would the you generate billion will that. to talk CRH, what flow. how $XX

M&A growth the close to on billion to that, $X this XXXX in in year of already I spend and another growth us announced in CapEx. On in of That's $X business for to $X going billion top our spend investing expect beyond. deals about billion with or pipeline. the deals we're

in we share further a it's buybacks. billion to we're dividends the to our and looking In likely dividends, rate at buybacks will and announced, $X that, with distribute run shareholders addition back

billion significant that a So first $XX there. business in the investment year in the we're very seeing that of

backdrop good. is industry The

we shareholders. drive cycle. no when growth player major and our touch that performance particularly #X to cash can this States in We and and growth be generation the our the Therefore, else are further rewarding Europe. beneficiary we for will use cash And in one United

well talked And positions at just and look again, we CRH let's step growth and quarter, the think about the where short- take but for I medium-term that. and we itself a see first and back very cycle are

of from line comes Dudas next Research. Michael Your with the question Vertical

Can you Hello? me? hear

ahead, Go Go here, Mike. please. We're ahead. Yes.

Okay. Great.

about Sorry that.

to you've are share First, what or on a put to seen thoughts just can lot into early some of I playbook, your relative targets. on just on Texas obviously out negotiations you relative of schedule you know saw acquisition. you, and going interesting and what you synergy Maybe Relative some ahead you quick, the gave to some behind that first. -- pretty details

so and the I to. time. in continue We've in far. think this couple happy did think things out point in. we bit identified at Yes, a Well, million But $XX to I to maybe we're dig We'll presentation. of there's satisfied a call

are building materials in the the Texas. supplier We of state largest

that's really infrastructure of consumers businesses readymixed have We or the business whether critical cement, the or unique downstream, a Outdoor Living. of portfolio

So value the big creator for is just us. a internal consumption

well serve Kansas, to market the as at and look it other plant, needs assets huge with of as benefit Midlothian, context optimization is the of that our you that Arkansas a along that transportation a continues Texas, in ability when network But in grow. from it be kind our plant standpoint to way to served in as the

So pool -- of those a for are us. that's nice opportunity

driven we have profitability of the it's is performance. doubled example other was I important drive That operational by the best, say tangible which In to acquired the It's probably bit, XXXX, internal X I Grove. of example. in past, is usage resources that have the think, great Ash years. called the out and that business most think a in to

plants opportunity. So world, taking of and being another our producer applying large optimizing, Hunter around XX-plus plant terms those the leading is cement of practices, in the a pool best of in

opportunity clearly we've identified so And there.

platform last procurement in And expect our underlying housekeeping terms then of and leveraging do our and scale. us you of the kind kind them around in the weaving of to just would size and into

million $XX far. opportunity look it's said, as it, I so and today, good as So of a at of

Mike, this time. point just $XX to should mean say, talked just to said. at what Randy Randy I in add just I million

how goes. are just it's we'll worthwhile see table under do we there, it again, asking feet Our how the But do this?

profitability. and the business, extra this and that's brings brings a what technical CRH, owner solutions the new model, of capabilities Well, delivers it

of owners by So XX%. to over profitability. technical dedicated, you previous because business we going we're it have the previous solution it who model, integrated capability, are now into profitability increase model that versus to done And we it's solutions a materials compared our higher players, focused the delivers but model, as this shows owners,

-- with companies translate investing and will this. of cash and It working That's profits higher CRH will deliver those like better advantage and into returns. the

And again, seen be it must portfolio backdrop our the against constant of management.

During the of Western the XX as expect maybe business, And capital. disposed and again, months, We course Lime in been disciplined you disposed the that's in money should business slow-growth of we in has see That here. reinvested Europe. into last Quebec. of the business stewards to plant of this Texas faster-growing around of what efficient, regions

elaborate That's experiencing valuations maybe gentlemen, follow-up you're to your Albert, on pipeline and the on of or in your my can the segue a M&A is, negotiations? you some visibility current great

like have and my deliver XX-some when they is high we prices synergies, high synergies do deliver continue we valuations for but that's in in Look, we deliver . how except too CRH always to returns. years been and we pay we high -- too what those be shareholder

Our pipeline said us coming. in already what's I announced is year, $X to of billion deals expect strong. about I and what's that do this call between earlier this worth

integrate create next those those move them, synergies We that. year digest deals. after and will on We'll obviously to

higher footprint. to solutions portfolio of out our we into is as growth capital reallocate And So build it's happy the our the continued continue management I parts good back the will that pipeline continue think and model. strong, to

the line Thielman question Davidson. comes of with D.A. Brent next Your from

just question timing be U.S. an index you my guess of if the would could first update inclusion? I provide on

Yes.

several have different equity and Firstly, rebalancing in there Russell, CRSP, S&P, all key the eligibility criteria MSCI timelines. U.S., have right? You and are indices they

date. with we're last made to Since progress the pleased September, relisting the very we've

XX% daily shareholders trading our In And of over the also volumes. in fact, our today, majority based today, the U.S. the NYSE now of represents are

in filing the a U.S. XX-K key our of important milestone GAAP also us, financials and our kind us. for February was of For

inclusion soon inclusion index of discretion at the be course, as And we're is we're consideration. we'll of as ultimately, but eligible possible. the seeking confident that for But providers, individual

that. Okay. Americas follow-up would just I appreciate be And my then Building on Solutions.

And group, trends in view wondering good of that potential just in mentioned or particular, organic this You half season terms your year? for of rest early for might that inform Living. first demand the Outdoor there growth how in

spring business Americas I one Living has you season coal mine, sell-in within a Outdoor bedrock. States, the is in say, think season sense Living jobbing small particular is the been early of gives a business. for it to demand canary our there's is because our Solutions, always what it's across the Building sell-in, our which the for good And have good division I underlying contractors me which United the which for the Outdoor the

I And I been ahead. have strong. are the the than are seasonal books numbers to strong say the good. strong. last saw levels and are again, we Volume better numbers expected. be still are Sell-through demand for has levels order Activity week continue to

sign with for busy up pleased we good and of our part it's a development to the positively as start So there, the now. ramp I'm season

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

Can about that canary are a Americas being your a well the in I leading mine. Albert, with specifically outdoors products and charge here? little on more you agree comment, just coal in speak what doing the

the and used Living what in I am was, products term talking question mine for canary The Outdoor coal about. I the specifically

outdoor Actually, it's summer their season, the people out effort paving come backyard. building for mainly a areas the of hardscapes spring energy early are living preparing as season. wide products range, we to used happens time, what in spend but it's winter the Usually our and are prepared season, that and at

areas, walls, to tends those concrete that, hardscape hardscapes, it pavers, be capstones, all bricks, So of that. all of

homes. to and for it prepared from activity really where indicates the as invest season, people that people are level That's the prepare demand the comes in of their

we So And of this that's underlying demand had the the always people to been We've area. we indication from. XX what calling yet good in we're strong and it environment found spend really haven't confidence for wrong have this years. and proved that in a in a business

Your next question from Jones of the Will Redburn from Atlantic. line comes

us out update how Americas leaves around the paving on the how feel program Can as ask price over it come elements with on Perhaps what you asphalt please. went and summer to and the regard of just now that just season. you could need that Materials, and you of I winter fill you you

And then a I linked And understand solutions that in whether you small you approach helping appreciate us area? XX%-or-so that? to think is growth. but paving that, I revenues, help share the that maybe guess, I can quarter, gain it's

Yes. Thanks question. the for

basis. on and asphalt, I asphalt just reminder, the particular, a that business a run think on as liquid in margin side we

asphalt important the of availability for it's in surety of off-season and to in So tanks the us because certainly liquid the have of supply. quantum

primary So our utilize kind we storage capabilities. that's and the reason have that of

broad terms, Again, that similar grow a were margin there's to standpoint, third-party where with and we're, obligations it Indexes pricing we that's quantum a then very we in the bit of one, think kind State ways standpoint being floating various in to of year. market. protect from that contractual and customers. I a there's our last And

it's again, on we X/X, almost So X/X, margin X/X. But manage basis. a that

the both of continue to associated question i.e., in margins. improve, backlogs paving that dollars on but that, are with quantum And your in

us gives where indication we good a of it So are.

even we're really season, to insignificant for quarter seeing a the The off first month kicks that relatively us. momentum first a Thanksgiving, after And period quarter time the continued ended. paving, mid-April but through is

wrap Does QX up apply? the whole to think about And still stage. back just at for flattish perhaps a I you before that view Americas, volume year the on talked

reflected output what for in in thoughts at of we're seeing time backlog would year. I the that the terms and say are our

of backlog X- is to and So in terms really yes, X-month a demand. that window

question line from next UBS. Kuglitsch Your with of Gregor comes the

So questions, please. two

of in give question, in of We've Europe. maybe an what seeing maybe thinking you're I and slightly the sort to pricing on second of pond and in activity piece, on carbon sides slide a a So of both you're trends a also what a and in some on the longer-term update there's from of capture. guess sort an QX wanted terms U.S. firstly, of seen get bit so on weather -- into I the pack. trends? And then announcements bit second sustainability carbon there maybe Could a bit and the maybe little quarter, sort little some us update you the a

but You of talked on sort a those bit about things, please. your SCMs thoughts already,

activity of the for terms But been Jim really to in it's terms very still date, it's first, us. a regions. in of in early here. story Yes, of Europe, level, two season

start where underpinned a the a EU in -- of kind been firstly, multiyear on East, of on Europe by funding really and the East the infrastructure to Europe. kind side, strong infrastructure across early the stages that's that Firstly, of in year still very we're

that Also which on strong nonres, activity is kind high-spec nonres, region. particularly also levels the of into the in industrial very good

some favorable from And benefited also Europe out in weather we East. QX

But and Europe that period moved weather, which Ireland, incurred we're in in in to in past weather into markets, a very May, past QX. April rainfall is our Looking record levels different activity of In pattern. U.K., of we've terms wet we of now that West, markets. we've that certainly main levels moved really seeing France of that certainly, those kind recovery key and good

be kind pushing mix of performance will This pricing East first the getting the quarter. Europe, across in of we're momentum. on pretty by but and been Europe. terms In impacted is good consecutive that particularly geographic of in business X pricing strong the Europe year our has ahead, significantly in Quarter seventh of

kind you positive fact, underlying when kind in mid-single the mix it's activity of In Europe, of pricing adjust year-to-date. digits

and broader question plans, decarbonization, Scope at sustainability, just in XXXX X. but the it's question absolute just maybe XX% ambition to reduce X than terms emissions which our the think on of reiterate a And to by around X, our I

an progress XXXX, X% We made really decline underlying emissions. good in in

objective to net XXXX. zero continue the ultimately, be a at path, to on and then that in XXXX, meet path, We glide

of that continue to would world you would you I terms terms loop will expect That's is changing to that a think of just evolve, sustainability. technologies. broader conversation But a stay us area. it of stay in a different but the in in variety top we than As in of expect, execution that on

year any Randy, Remember, you about Gregor, States. And our as product broader let's And will recycler the this in of CRH say the talk United year. again over percentage again, largest the conversation, within recycling go last up circularity is CRH.

COX, do a not going preserving is indeed, And circularity business the we about is focus footprint, to in carbon we everything reducing forward. key and as there. sustainability for about area just well. progress our that continue scarce world. our So of natural again, about it's make our And It's resources

and with have from America. time question that more comes for Arnaud Lehmann question of one Bank We

I I may. two have questions, if

Could U.S. on price possibility of second so round had the cement. in the Firstly, of far? year, considering you about momentum the comment increase later the positive you've

XX about $X you disposal, But you of in of $X net debt, about billion. some And had to be expected Lime are talk technicality, was, you contribution total And M&A the you should from I when billion. back maybe I about talk get on secondly, -- proceeds Texas, net European $X.X a think, to I billion. the or I appreciate outflow on which come wanted just about which Slide but believe

I in all outflows more and this are know to maybe phases -- three are of there don't number? you get but is there related bolt-ons it, there

look think a relationship be to good, the X% cement, Underlying over if ahead on the those basis, are. years where In really in evaluate question is demand to good. expected we I you several on market-by-market it's opportunities QX, last

I for price 'XX. expect for second us would a at be think to to as opportunities targeted in able well you increase look

regular QX. and M&A, outflow billion, as which Yes, the out of just just acquisition, movement from in the bolt-ons reported net the that's inflow X the on also of the Lime European Arnaud, we makeup X the a yes, Phase on just in terms then are well, and the $X.X divestiture Texas of

So numbers. it's the net of just three the

feel all attention. if please And time follow-up that's we for thank afraid you any have contact you for I'm our questions, always, Look, have as this your want Investor free Arnaud. Relations morning. Thanks, I team. to to

results you we to good in XXXX. talking a again and to forward the Thank August look have quarter for report when We of you, second our day.

Thank you.

Your conference call has ended. now

You may disconnect.

Good day.