LafargeHolcim shared its second-quarter 2017 results, which show that the company sold 30.4 million tons of aggregate in North America. This is a 5.9 percent decrease compared with the second quarter of 2016, during which the company sold 32.3 million tons of aggregate.
Year-to-date, the company sold 44.8 million tons of aggregate in North America, which is a 2.6 percent decrease compared with the same time period in 2016, during which the company sold 46 million tons of aggregate.
Aggregate sales in the United States were impacted by unfavorable weather conditions, which constrained deliveries for a period during the quarter, LafargeHolcim reports. Despite this, performance in Canada remained stable in the second quarter due to cost-efficiency measures, mainly in the west of the country.
According to the company, North America made a strong contribution to operating EBITDA (earnings before interest, taxes, depreciation and amortization) adjusted growth, which was up 16.5 percent on a like-for-like basis despite the effect of heavy rain on volumes of cement and aggregate in parts of the United States and Canada. In both markets, cost savings in logistics and manufacturing contributed to positive results, and the U.S. continued to benefit from favorable pricing, the company adds.
Sales of aggregate in all of the company’s markets in the second quarter of 2017 was at 76.3 million tons, which is a 2.9 percent decrease compared with the second quarter of 2016, which closed at 78.6 million tons of aggregate sold. Year-to-date, the company sold 128 million tons of aggregate, which is a 1.7 percent decrease compared with the same time period in 2016, which closed at 130.2 million tons of aggregate sold.
According to LafargeHolcim, its Middle East Africa, Latin America and North America regions all contributed to earnings momentum with the United States, Nigeria and Mexico, among top performers.
“LafargeHolcim delivered positive earnings growth for the fifth consecutive quarter supported by favorable pricing, cost discipline and synergies,” says Beat Hess, chairman and interim CEO of LafargeHolcim. “The unique strengths of our balanced portfolio are once again evident in our results with key countries such as the United States, India, Nigeria and – notably this quarter – Mexico making significant contributions to earnings, more than offsetting headwinds in some of our markets. On that basis, and with our performance to date, we remain confident that we will achieve our full year guidance and our 2018 targets.”
