Building materials group CRH has reported pre-tax profits of €383m for the first half of this year, up 20% on the same period a year earlier. Total sales were up 13% at just over €6.3 billion.
Earnings per share grew by 17% to 56 cent, while a 17% higher interim dividend of 11.25 cent has been declared.
Chief executive Liam O'Mahony described the results as strong, with good growth in its American businesses outweighing a decline in Europe. He said he expected further progress in the second half despite the surge in energy costs.
Profits in Ireland fell, however, with the company saying that price increases and higher sales were not enough to recover higher costs. A breakdown showed that total profits in Europe rose by just 2% to €277m. The materials business rose by 12% to €141m, but the products division saw profits drop by 10% to €86m, hit by subdued trading and poor weather. The European distribution division was ahead 2% at €50m.
Total American profits jumped by 68% to €168m, with the materials division's traditional first half loss slashed from €32m to €4m. Strong US residential construction activity boosted the American products division's profits by 26% to €144m. The distribution arm was 58% ahead at €28m.
CRH said currency movements knocked €2m off pre-tax profits. The group spent €231m on acquisitions and other investments in the first half and has spent another €190m in the second half.
Shares in CRH closed 63 cent lower at €21.65 in Dublin this evening.
