Holcim (HOLN) H1 2024 earnings summary

Executive summary

• Achieved record profitable growth in H1 2024, with recurring EBIT up 12.7% in local currency and net sales up 1.6% in local currency compared to H1 2023.

• Eleven acquisitions and four divestments accelerated circular construction and expanded Solutions & Products, contributing 1.9% to net sales.

• Advanced sustainability with a 7% reduction in CO2 per net sales and strong growth in ECOPact and ECOPlanet sales.

• U.S. listing of North American business progressing, expected in H1 2025.

Financial highlights

• Recurring EBIT reached CHF 2.2bn, up 12.7% in local currency, with a record margin of 17.2% for H1 and 23.2% in Q2.

• Net sales totaled CHF 12.8bn, up 1.6% in local currency but down 2% in CHF year-over-year.

• Earnings per share before impairment/divestments rose 10% to CHF 2.44.

• Free cash flow after leases was CHF 48m, reflecting strong operational performance and increased growth CAPEX.

• Net financial debt at CHF 10.9bn as of June 2024, slightly down year-over-year.

Outlook and guidance

• Full-year 2024 guidance updated: low single-digit net sales growth in local currency, recurring EBIT margin above 18.5%, and free cash flow above CHF 3bn.

• Over-proportional recurring EBIT growth and 20% increase in recycled construction demolition materials to 10 million tonnes expected.

• U.S. listing of North American business on track for H1 2025.