CRH(US:CRH)2025-11-05 21:14Financial Performance - Total revenues for Q3 2025 increased by 5% to $11.1 billion compared to Q3 2024, driven by positive demand and contributions from acquisitions[115] - Net income for Q3 2025 rose by $130 million to $1.5 billion, with an adjusted EBITDA of $2.7 billion, reflecting a 10% increase[115] - For the nine months ended September 30, 2025, total revenues reached $28.0 billion, also a 5% increase from the same period in 2024[127] - Gross profit for Q3 2025 was $4.3 billion, a 6% increase from Q3 2024, with a gross profit margin of 38.9%[128] - The net income margin for Q3 2025 was 13.7%, an increase of 50 basis points from the previous year[115] - Net income for the three months ended September 30, 2025, was $1.5 billion, an increase of $130 million from the comparable period in 2024[142] - Net income for the nine months ended September 30, 2025, was $3.607 billion, compared to $1.050 billion for the year ended December 31, 2024[207] Acquisitions and Investments - CRH completed nine acquisitions in Q3 2025 for a total consideration of $2.5 billion, compared to $1.4 billion in Q3 2024[117] - Net cash used in investing activities was $4.705 billion for the nine months ended September 30, 2025, with $3.1 billion spent on acquisitions, down from $3.9 billion in 2024[189] Shareholder Returns - Cash returned to shareholders through share buybacks was $0.9 billion, a decrease of $0.1 billion compared to the first nine months of the prior year[121] - The company repurchased approximately 9.6 million Ordinary Shares for a total consideration of $0.9 billion in the first nine months of 2025[183] Revenue Breakdown - Total revenues for Americas Materials Solutions for the three months ended September 30, 2025, were $5.637 billion, a 6% increase compared to the same period in 2024[148] - Total revenues for International Solutions for the nine months ended September 30, 2025, were $10.004 billion, an 8% increase compared to the same period in 2024[166] - Total revenues in Essential Materials for the nine months ended September 30, 2025, increased by 9% compared to the prior year, driven by favorable pricing and acquisitions[167] EBITDA and Margins - Adjusted EBITDA for Americas Building Solutions for the three months ended September 30, 2025, was $432 million, a 22% increase from the comparable period in 2024[156] - Adjusted EBITDA for International Solutions increased by 19% to $1.578 billion for the nine months ended September 30, 2025[166] - Adjusted EBITDA margin for Americas Materials Solutions was 27.6% for the three months ended September 30, 2025, down from 28.0% in the prior year[148] - Adjusted EBITDA in International Solutions increased by 19% compared to the same period in 2024, with a 150bps rise in adjusted EBITDA margin[169] Expenses and Costs - Selling, general and administrative expenses for Q3 2025 were $2.3 billion, up 7% from the same period in 2024, primarily due to increased labor costs[132] - Interest expense for Q3 2025 was $209 million, an increase of $45 million from Q3 2024, attributed to higher gross debt balances[136] Cash Flow and Debt - Net cash provided by operating activities was $2.710 billion for the nine months ended September 30, 2025, an increase of $0.451 billion from $2.259 billion in 2024[187] - Net Debt at September 30, 2025, was $15.006 billion, an increase from $10.532 billion at December 31, 2024[176] - As of September 30, 2025, the Company had a total debt of $18.8 billion, with $3.982 billion due within one year and $6.075 billion due in more than five years[198] Tax and Rates - Effective tax rate for the three months ended September 30, 2025, was 22%, down from 28% in the comparable period in 2024[139] Currency and Commodity Risks - A 10% weakening in foreign currency exchange rates versus the U.S. Dollar would increase the fair market value of foreign currency contracts by approximately $20 million as of September 30, 2025[222] - The Company manages commodity price risks through negotiated supply contracts and forward contracts, focusing on materials like oil, electricity, coal, and carbon credits[223] - Derivative hedging programs are in place to neutralize variability from changes in commodity indices, with a timeframe of up to four years[224]