HIGHER COSTS A CHALLENGE FOR CRH - CRH says its profit before tax for last year was €534m, down from €732m the year before - a fall of 27%. Its sales were 1% lower at €17.1 billion.
CRH chief executive Myles Lee said underlying sales - stripping out acquisitions and currency movements - were down 7%, but the annual drop was only 2% in the final quarter. He said sales revenues were ahead in the early months of 2011.
Mr Lee said CRH had been providing for increased raw materials costs by planning price rises for its products, though it would be watching the effect of Middle East unrest on oil prices closely.
He said Ireland now accounted for just 3% of CRH's total turnover. He said any new Irish Government faced a host of challenges, but there was small-scale infrastructural work around the country which could provide some jobs.
Mr Lee said CRH was well-placed for a recovery in demand, with low debt and the capacity to make acquisitions.
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FURTHER JOB LOSSES ON CARDS AT EIRCOM - Eircom could break its covenants with its lenders and talks are to begin with them shortly. In the three months to December its revenue fell 6% to €438m and earnings fell by 3% to €154m.
Eircom's chief executive Paul Donovan said preliminary talks with lenders on its covenants would start in March or April.
Mr Donovan said 'constructive' talks had been going on with unions, and a cost-cutting agreement was expected later this week, subject to a ballot of union members.
He said this would address pay costs, 'exit programmes' and changes in work practices. Mr Donovan said the company had cut 1,500 jobs over the last two years, and it was inevitable that there would be further job losses, though the exact number would depend on the other measures agreed.
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CURRENCIES - The euro is trading at $1.38 and 84.89p sterling.
