· Reported sales increased 13% to €9.4 billion; down 1% in Europe and up 26% in the Americas.
|
· Sales from continuing operations1 increased 17%; up 3% in Europe and up 32% in the Americas.
|
· EBITDA from continuing operations1 up 29%; up 4% in Europe and up 57% in the Americas.
|
· Margins up in all six operating divisions.
|
· Reallocating capital into value-creating opportunities.
|
· Over half the multi-year divestment programme of c.€1.5 - €2 billion is now complete.
|
· First half divestment/disposal proceeds of €670 million. First half acquisition/investment spend of €113 million.
|
· The acquisition of European and American assets from Lafarge and Holcim is now complete; integration underway.
|
· Announcement today of $1.3 billion C.R. Laurence acquisition in the US; further progress on balanced portfolio.
|
· Near term focus is strongly on integration, to maximise the potential of these acquired assets.
|
· Incremental cost savings of €28 million to date in 2015 with full-year target of €75 million on track.
|
· Net debt of €1.2 billion, €2.5 billion lower than June 2014.
|
Six months ended 30 June
|
2015
|
2014
|
Change 2015 v. 2014
|
||
€ m
|
€ m
|
Continuing
|
|||
Operations1
|
|||||
Sales revenue
|
9,370
|
8,324
|
+13%
|
+17%
|
|
EBITDA
|
555
|
505
|
+10%
|
+29%
|
|
EBITDA margin
|
5.9%
|
6.1%
|
-20bps
|
+60bps
|
|
Operating profit
|
189
|
171
|
+€18m
|
||
Profit before tax 2
|
63
|
61
|
+€2m
|
||
Earnings before interest, tax, depreciation and amortisation (EBITDA) and operating profit exclude profit on disposals and
CRH's share of joint ventures' and associates' profit after tax.
|
|||||
1 Continuing operations exclude the impact of divested entities and at EBITDA level also exclude one-off items (see table on page 11).
2 First half 2015 profit before tax includes the impact of a €38m charge relating to early bond redemption (see page 3).
|
%
|
Six months
ended 30 June
|
Total
|
Analysis of change
|
||||||||||||
€ million
|
Change
|
2015
|
2014
|
Change
|
Exchange
|
Organic
|
Acquisitions
|
Divestments
|
One-off
|
||||||
Sales revenue
|
-7%
|
1,760
|
1,885
|
-125
|
+48
|
-25
|
+3
|
-151
|
-
|
||||||
EBITDA*
|
-22%
|
125
|
160
|
-35
|
+2
|
+2
|
-
|
-29
|
-10
|
||||||
Operating profit*
|
-37%
|
38
|
60
|
-22
|
+1
|
+9
|
-
|
-22
|
-10
|
||||||
EBITDA/sales
|
7.1%
|
8.5%
|
|||||||||||||
Op. profit/sales
|
2.2%
|
3.2%
|
|||||||||||||
*EBITDA and operating profit exclude profit on disposals
|
Gains from CO2 amounted to €3 million (H1 2014: €10 million)
Restructuring costs amounted to €3 million (H1 2014: €nil million)
|
||||||||||||||
%
|
Six months
ended 30 June
|
Total
|
Analysis of change
|
||||||||||||
€ million
|
Change
|
2015
|
2014
|
Change
|
Exchange
|
Organic
|
Acquisitions
|
Divestments
|
One-off
|
||||||
Sales revenue
|
+3%
|
475
|
463
|
+12
|
+19
|
-8
|
+1
|
-
|
-
|
||||||
EBITDA*
|
+5%
|
46
|
44
|
+2
|
+2
|
-
|
-
|
-
|
-
|
||||||
Operating profit*
|
+3%
|
33
|
32
|
+1
|
+2
|
-1
|
-
|
-
|
-
|
||||||
EBITDA/sales
|
9.7%
|
9.5%
|
|||||||||||||
Op. profit/sales
|
6.9%
|
6.9%
|
|||||||||||||
*EBITDA and operating profit exclude profit on disposals
|
Restructuring costs amounted to €2 million (H1 2014: €2 million)
|
||||||||||||||
%
|
Six months
ended 30 June
|
Total
|
Analysis of change
|
||||||||||||
€ million
|
Change
|
2015
|
2014
|
Change
|
Exchange
|
Organic
|
Acquisitions
|
Divestments
|
One-off
|
||||||
Sales revenue
|
+5%
|
2,010
|
1,922
|
+88
|
+83
|
-20
|
+25
|
-
|
-
|
||||||
EBITDA*
|
-32%
|
54
|
79
|
-25
|
+4
|
-
|
+1
|
-
|
-30
|
||||||
Operating profit*
|
-63%
|
16
|
43
|
-27
|
+2
|
+1
|
-
|
-
|
-30
|
||||||
EBITDA/sales
|
2.7%
|
4.1%
|
|||||||||||||
Op. profit/sales
|
0.8%
|
2.2%
|
|||||||||||||
*EBITDA and operating profit exclude profit on disposals
|
One-off costs include provision for Swiss ComCo fine of €32m
Restructuring costs amounted to €1 million (H1 2014: €3 million)
|
||||||||||||||
%
|
Six months
ended 30 June
|
Total
|
Analysis of change
|
||||||||||||
€ million
|
Change
|
2015
|
2014
|
Change
|
Exchange
|
Organic
|
Acquisitions
|
Divestments
|
One-off
|
||||||
Sales revenue
|
+30%
|
2,235
|
1,718
|
+517
|
+392
|
+131
|
+25
|
-31
|
-
|
||||||
EBITDA*
|
+79%
|
113
|
63
|
+50
|
+14
|
+35
|
+3
|
-
|
-2
|
||||||
Operating loss*
|
+44%
|
(34)
|
(61)
|
+27
|
-14
|
+40
|
+1
|
+2
|
-2
|
||||||
EBITDA/sales
|
5.1%
|
3.7%
|
|||||||||||||
Op. profit/sales
|
-1.5%
|
-3.6%
|
|||||||||||||
*EBITDA and operating loss exclude profit on disposals
|
Restructuring costs amounted to €5 million (H1 2014: €3 mil)
|
||||||||||||||
%
|
Six months
ended 30 June
|
Total
|
Analysis of change
|
||||||||||||
€ million
|
Change
|
2015
|
2014
|
Change
|
Exchange
|
Organic
|
Acquisitions
|
Divestments
|
One-off
|
||||||
Sales revenue
|
+21%
|
1,903
|
1,575
|
+328
|
+327
|
+117
|
+15
|
-131
|
-
|
||||||
EBITDA*
|
+37%
|
179
|
131
|
+48
|
+30
|
+29
|
+2
|
-11
|
-2
|
||||||
Operating profit*
|
+40%
|
112
|
80
|
+32
|
+20
|
+20
|
+2
|
-8
|
-2
|
||||||
EBITDA/sales
|
9.4%
|
8.3%
|
|||||||||||||
Op. profit/sales
|
5.9%
|
5.1%
|
|||||||||||||
*EBITDA and operating profit exclude profit on disposals
|
Restructuring costs amounted to €3 million (H1 2014: €1 million)
|
||||||||||||||
%
|
Six months
ended 30 June
|
Total
|
Analysis of change
|
||||||||||||
€ million
|
Change
|
2015
|
2014
|
Change
|
Exchange
|
Organic
|
Acquisitions
|
Divestments
|
One-off
|
||||||
Sales revenue
|
+30%
|
987
|
761
|
+226
|
+173
|
+53
|
-
|
-
|
-
|
||||||
EBITDA*
|
+36%
|
38
|
28
|
+10
|
+7
|
+3
|
-
|
-
|
-
|
||||||
Operating profit*
|
+41%
|
24
|
17
|
+7
|
+4
|
+3
|
-
|
-
|
-
|
||||||
EBITDA/sales
|
3.9%
|
3.7%
|
|||||||||||||
Op. profit/sales
|
2.4%
|
2.2%
|
|||||||||||||
*EBITDA and operating profit exclude profit on disposals
|
No restructuring costs were incurred (H1 2014: €nil)
|
||||||||||||||
First Half Sales -
2014
|
2014
as reported
€ bn
|
Exclude divested
businesses
€ bn
|
Continuing
operations
€ bn
|
||
Europe Heavyside
|
1.9
|
(0.2)
|
1.7
|
||
Europe Lightside
|
0.5
|
-
|
0.5
|
||
Europe Distribution
|
1.9
|
-
|
1.9
|
||
Total Europe
|
4.3
|
(0.2)
|
4.1
|
||
Americas Materials
|
1.7
|
-
|
1.7
|
||
Americas Products
|
1.6
|
(0.2)
|
1.4
|
||
Americas Distribution
|
0.7
|
-
|
0.7
|
||
Total Americas
|
4.0
|
(0.2)
|
3.8
|
||
Total CRH
|
8.3
|
(0.4)
|
7.9
|
First Half Sales -
2015
|
2015
as reported
€ bn
|
Exclude divested
businesses
€ bn
|
Continuing
operations
€ bn
|
% change
continuing
operations
|
|
Europe Heavyside
|
1.8
|
(0.1)
|
1.7
|
+1%
|
|
Europe Lightside
|
0.5
|
-
|
0.5
|
+3%
|
|
Europe Distribution
|
2.0
|
-
|
2.0
|
+5%
|
|
Total Europe
|
4.3
|
(0.1)
|
4.2
|
+3%
|
|
Americas Materials
|
2.2
|
-
|
2.2
|
+33%
|
|
Americas Products
|
1.9
|
(0.1)
|
1.8
|
+32%
|
|
Americas Distribution
|
1.0
|
-
|
1.0
|
+30%
|
|
Total Americas
|
5.1
|
(0.1)
|
5.0
|
+32%
|
|
Total CRH
|
9.4
|
(0.2)
|
9.2
|
+17%
|
First Half EBITDA -
2014
|
2014
as reported
€ m
|
Exclude divested
businesses
€ m
|
Exclude
One-offs
€ m
|
Continuing
operations
€ m
|
|
Europe Heavyside
|
160
|
(38)
|
(10)
|
112
|
|
Europe Lightside
|
44
|
-
|
2
|
46
|
|
Europe Distribution
|
79
|
-
|
3
|
82
|
|
Total Europe
|
283
|
(38)
|
(5)
|
240
|
|
Americas Materials
|
63
|
2
|
3
|
68
|
|
Americas Products
|
131
|
(9)
|
1
|
123
|
|
Americas Distribution
|
28
|
-
|
-
|
28
|
|
Total Americas
|
222
|
(7)
|
4
|
219
|
|
Total CRH
|
505
|
(45)
|
(1)
|
459
|
First Half EBITDA -
2015
|
2015
as reported
€ m
|
Exclude divested
businesses
€ m
|
Exclude
One-offs
€ m
|
Continuing
operations
€ m
|
% change
continuing
operations
|
Europe Heavyside
|
125
|
(11)
|
-
|
114
|
+2%
|
Europe Lightside
|
46
|
-
|
2
|
48
|
+4%
|
Europe Distribution
|
54
|
-
|
33
|
87
|
+6%
|
Total Europe
|
225
|
(11)
|
35
|
249
|
+4%
|
Americas Materials
|
113
|
2
|
5
|
120
|
+76%
|
Americas Products
|
179
|
4
|
3
|
186
|
+51%
|
Americas Distribution
|
38
|
-
|
-
|
38
|
+36%
|
Total Americas
|
330
|
6
|
8
|
344
|
+57%
|
Total CRH
|
555
|
(5)
|
43
|
593
|
+29%
|
Year ended
|
|||||
Six months ended 30 June
|
31 December
|
||||
2015
|
2014
|
2014
|
|||
Unaudited
|
Unaudited
|
Audited
|
|||
€ m
|
€ m
|
€ m
|
|||
Revenue
|
9,370
|
8,324
|
18,912
|
||
Cost of sales
|
(6,684)
|
(6,014)
|
(13,427)
|
||
Gross profit
|
2,686
|
2,310
|
5,485
|
||
Operating costs
|
(2,497)
|
(2,139)
|
(4,568)
|
||
Group operating profit
|
189
|
171
|
917
|
||
Profit on disposals
|
72
|
17
|
77
|
||
Profit before finance costs
|
261
|
188
|
994
|
||
Finance costs
|
(144)
|
(137)
|
(254)
|
||
Finance income
|
5
|
9
|
8
|
||
Other financial expense
|
(60)
|
(22)
|
(42)
|
||
Share of equity accounted investments' profit
|
1
|
23
|
55
|
||
Profit before tax
|
63
|
61
|
761
|
||
Income tax expense - estimated at interim
|
(16)
|
(15)
|
(177)
|
||
Group profit for the financial period
|
47
|
46
|
584
|
||
Profit attributable to:
|
|||||
Equity holders of the Company
|
46
|
45
|
582
|
||
Non-controlling interests
|
1
|
1
|
2
|
||
Group profit for the financial period
|
47
|
46
|
584
|
||
Earnings per Ordinary Share
|
|||||
Basic
|
5.7c
|
6.1c
|
78.9c
|
||
Diluted
|
5.7c
|
6.1c
|
78.8c
|
||
CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
|
|||||
Group profit for the financial period
|
47
|
46
|
584
|
||
Other comprehensive income
|
|||||
Items that may be reclassified to profit or loss in
subsequent periods:
|
|||||
Currency translation effects
|
739
|
(58)
|
599
|
||
Gains/(losses) relating to cash flow hedges
|
6
|
1
|
(6)
|
||
745
|
(57)
|
593
|
|||
Items that will not be reclassified to profit or loss in
subsequent periods:
|
|||||
Remeasurement of retirement benefit obligations
|
171
|
(197)
|
(414)
|
||
Tax on items recognised directly within other comprehensive income
|
(28)
|
35
|
69
|
||
143
|
(162)
|
(345)
|
|||
Total other comprehensive income for the financial period
|
888
|
(219)
|
248
|
||
Total comprehensive income for the financial period
|
935
|
(173)
|
832
|
||
Attributable to:
|
|||||
Equity holders of the Company
|
932
|
(174)
|
830
|
||
Non-controlling interests
|
3
|
1
|
2
|
||
Total comprehensive income for the financial period
|
935
|
(173)
|
832
|
As at 30
|
As at 30
|
As at 31
|
|||
June 2015
|
June 2014
|
December 2014
|
|||
Unaudited
|
Unaudited
|
Audited
|
|||
€ m
|
€ m
|
€ m
|
|||
ASSETS
|
|||||
Non-current assets
|
|||||
Property, plant and equipment
|
7,822
|
7,421
|
7,422
|
||
Intangible assets
|
4,411
|
3,937
|
4,173
|
||
Investments accounted for using the equity method
|
1,415
|
1,351
|
1,329
|
||
Other financial assets
|
25
|
23
|
23
|
||
Other receivables
|
106
|
75
|
85
|
||
Derivative financial instruments
|
70
|
73
|
87
|
||
Deferred income tax assets
|
146
|
147
|
171
|
||
Total non-current assets
|
13,995
|
13,027
|
13,290
|
||
Current assets
|
|||||
Inventories
|
2,537
|
2,387
|
2,260
|
||
Trade and other receivables
|
3,577
|
3,211
|
2,644
|
||
Current income tax recoverable
|
11
|
7
|
15
|
||
Derivative financial instruments
|
22
|
12
|
15
|
||
Cash and cash equivalents
|
5,239
|
1,146
|
3,262
|
||
Assets held for sale
|
-
|
-
|
531
|
||
Total current assets
|
11,386
|
6,763
|
8,727
|
||
Total assets
|
25,381
|
19,790
|
22,017
|
||
EQUITY
|
|||||
Capital and reserves attributable to the Company's equity holders
|
|||||
Equity share capital
|
280
|
252
|
253
|
||
Preference share capital
|
1
|
1
|
1
|
||
Share premium account
|
6,014
|
4,303
|
4,324
|
||
Treasury Shares and own shares
|
(39)
|
(82)
|
(76)
|
||
Other reserves
|
227
|
205
|
213
|
||
Foreign currency translation reserve
|
794
|
(600)
|
57
|
||
Retained income
|
5,245
|
5,196
|
5,405
|
||
12,522
|
9,275
|
10,177
|
|||
Non-controlling interests
|
22
|
24
|
21
|
||
Total equity
|
12,544
|
9,299
|
10,198
|
||
LIABILITIES
|
|||||
Non-current liabilities
|
|||||
Interest-bearing loans and borrowings
|
6,169
|
4,301
|
5,419
|
||
Derivative financial instruments
|
14
|
3
|
3
|
||
Deferred income tax liabilities
|
1,399
|
1,186
|
1,305
|
||
Other payables
|
184
|
249
|
257
|
||
Retirement benefit obligations
|
590
|
621
|
711
|
||
Provisions for liabilities
|
323
|
265
|
257
|
||
Total non-current liabilities
|
8,679
|
6,625
|
7,952
|
||
Current liabilities
|
|||||
Trade and other payables
|
3,532
|
3,015
|
2,894
|
||
Current income tax liabilities
|
129
|
119
|
154
|
||
Interest-bearing loans and borrowings
|
351
|
611
|
447
|
||
Derivative financial instruments
|
9
|
19
|
20
|
||
Provisions for liabilities
|
137
|
102
|
139
|
||
Liabilities associated with assets classified as held for sale
|
-
|
-
|
213
|
||
Total current liabilities
|
4,158
|
3,866
|
3,867
|
||
Total liabilities
|
12,837
|
10,491
|
11,819
|
||
Total equity and liabilities
|
25,381
|
19,790
|
22,017
|
Attributable to the equity holders of the Company
|
|||||||||
Treasury
|
Foreign
|
||||||||
Issued
|
Share
|
Shares/
|
currency
|
Non-
|
|||||
share
|
premium
|
own
|
Other
|
translation
|
Retained
|
controlling
|
Total
|
||
capital
|
account
|
shares
|
reserves
|
reserve
|
income
|
interests
|
equity
|
||
€ m
|
€ m
|
€ m
|
€ m
|
€ m
|
€ m
|
€ m
|
€ m
|
||
For the financial period ended 30 June 2015 (unaudited)
|
|||||||||
At 1 January 2015
|
254
|
4,324
|
(76)
|
213
|
57
|
5,405
|
21
|
10,198
|
|
Group profit for period
|
-
|
-
|
-
|
-
|
-
|
46
|
1
|
47
|
|
Other comprehensive income
|
-
|
-
|
-
|
-
|
737
|
149
|
2
|
888
|
|
Total comprehensive income
|
-
|
-
|
-
|
-
|
737
|
195
|
3
|
935
|
|
Issue of share capital (net of expenses)
|
27
|
1,690
|
-
|
-
|
-
|
-
|
-
|
1,717
|
|
Share-based payment expense
|
|||||||||
- Share option schemes
|
-
|
-
|
-
|
1
|
-
|
-
|
-
|
1
|
|
- Performance Share Plans/ Restricted Share Plan
|
-
|
-
|
-
|
13
|
-
|
-
|
-
|
13
|
|
Treasury/own shares reissued
|
-
|
-
|
37
|
-
|
-
|
(37)
|
-
|
-
|
|
Share option exercises
|
-
|
-
|
-
|
-
|
-
|
41
|
-
|
41
|
|
Dividends (including shares in lieu of dividends)
|
-
|
-
|
-
|
-
|
-
|
(359)
|
(2)
|
(361)
|
|
At 30 June 2015
|
281
|
6,014
|
(39)
|
227
|
794
|
5,245
|
22
|
12,544
|
|
For the financial period ended 30 June 2014 (unaudited)
|
|||||||||
At 1 January 2014
|
252
|
4,219
|
(118)
|
197
|
(542)
|
5,654
|
24
|
9,686
|
|
Group profit for period
|
-
|
-
|
-
|
-
|
-
|
45
|
1
|
46
|
|
Other comprehensive income
|
-
|
-
|
-
|
-
|
(58)
|
(161)
|
-
|
(219)
|
|
Total comprehensive income
|
-
|
-
|
-
|
-
|
(58)
|
(116)
|
1
|
(173)
|
|
Issue of share capital (net of expenses)
|
1
|
84
|
-
|
-
|
-
|
-
|
-
|
85
|
|
Share-based payment expense
|
|||||||||
- Share option schemes
|
-
|
-
|
-
|
1
|
-
|
-
|
-
|
1
|
|
- Performance Share Plans/ Restricted Share Plan
|
-
|
-
|
-
|
7
|
-
|
-
|
-
|
7
|
|
Treasury/own shares reissued
|
-
|
-
|
36
|
-
|
-
|
(36)
|
-
|
-
|
|
Share option exercises
|
-
|
-
|
-
|
-
|
-
|
17
|
-
|
17
|
|
Dividends (including shares in lieu of dividends)
|
-
|
-
|
-
|
-
|
-
|
(323)
|
(1)
|
(324)
|
|
At 30 June 2014
|
253
|
4,303
|
(82)
|
205
|
(600)
|
5,196
|
24
|
9,299
|
For the financial year ended 31 December 2014 (audited)
|
||||||||
Attributable to the equity holders of the Company
|
||||||||
Treasury
|
Foreign
|
|||||||
Issued
|
Share
|
Shares/
|
currency
|
Non-
|
||||
share
|
premium
|
own
|
Other
|
translation
|
Retained
|
controlling
|
Total
|
|
capital
|
account
|
shares
|
reserves
|
reserve
|
income
|
interests
|
equity
|
|
€ m
|
€ m
|
€ m
|
€ m
|
€ m
|
€ m
|
€ m
|
€ m
|
|
At 1 January 2014
|
252
|
4,219
|
(118)
|
197
|
(542)
|
5,654
|
24
|
9,686
|
Group profit for year
|
-
|
-
|
-
|
-
|
-
|
582
|
2
|
584
|
Other comprehensive income
|
-
|
-
|
-
|
-
|
599
|
(351)
|
-
|
248
|
Total comprehensive income
|
-
|
-
|
-
|
-
|
599
|
231
|
2
|
832
|
Issue of share capital (net of expenses)
|
2
|
105
|
-
|
-
|
-
|
-
|
-
|
107
|
Share-based payment expense
|
||||||||
- Share option schemes
|
-
|
-
|
-
|
1
|
-
|
-
|
-
|
1
|
- Performance Share Plans/ Restricted Share Plan
|
-
|
-
|
-
|
15
|
-
|
-
|
-
|
15
|
Treasury/own shares reissued
|
-
|
-
|
42
|
-
|
-
|
(42)
|
-
|
-
|
Share option exercises
|
-
|
-
|
-
|
-
|
-
|
22
|
-
|
22
|
Dividends (including shares issued in lieu of dividends)
|
-
|
-
|
-
|
-
|
-
|
(460)
|
(4)
|
(464)
|
Acquisition of non-controlling interests
|
-
|
-
|
-
|
-
|
-
|
-
|
(1)
|
(1)
|
At 31 December 2014
|
254
|
4,324
|
(76)
|
213
|
57
|
5,405
|
21
|
10,198
|
Six months ended 30 June
|
Year ended
31 December
|
||||||
2015
|
2014
|
2014
|
|||||
Unaudited
|
Unaudited
|
Audited
|
|||||
€ m
|
€ m
|
€ m
|
|||||
Cash flows from operating activities
|
|||||||
Profit before tax
|
63
|
61
|
761
|
||||
Finance costs (net)
|
199
|
150
|
288
|
||||
Share of equity accounted investments' result
|
(1)
|
(23)
|
(55)
|
||||
Profit on disposals
|
(72)
|
(17)
|
(77)
|
||||
Group operating profit
|
189
|
171
|
917
|
||||
Depreciation charge
|
344
|
312
|
631
|
||||
Amortisation of intangible assets
|
22
|
22
|
44
|
||||
Impairment charge
|
-
|
-
|
49
|
||||
Share-based payment expense
|
14
|
8
|
16
|
||||
Other (primarily pension payments)
|
10
|
1
|
(66)
|
||||
Net movement on working capital and provisions
|
(598)
|
(566)
|
35
|
||||
Cash generated from operations
|
(19)
|
(52)
|
1,626
|
||||
Interest paid (including finance leases)
|
(203)
|
(172)
|
(262)
|
||||
Corporation tax paid
|
(47)
|
(28)
|
(127)
|
||||
Net cash (outflow)/inflow from operating activities
|
(269)
|
(252)
|
1,237
|
||||
Cash flows from investing activities
|
|||||||
Proceeds from disposals (net of cash disposed and deferred proceeds)
|
670
|
56
|
345
|
||||
Interest received
|
5
|
9
|
8
|
||||
Dividends received from equity accounted investments
|
33
|
18
|
30
|
||||
Purchase of property, plant and equipment
|
(338)
|
(213)
|
(435)
|
||||
Acquisition of subsidiaries (net of cash acquired)
|
(74)
|
(115)
|
(151)
|
||||
Other investments and advances
|
(7)
|
(2)
|
(3)
|
||||
Deferred and contingent acquisition consideration paid
|
(32)
|
(12)
|
(26)
|
||||
Net cash inflow/(outflow) from investing activities
|
257
|
(259)
|
(232)
|
||||
Cash flows from financing activities
|
|||||||
Proceeds from issue of shares (net)
|
1,593
|
-
|
-
|
||||
Proceeds from exercise of share options
|
41
|
17
|
22
|
||||
Acquisition of non-controlling interests
|
-
|
-
|
(1)
|
||||
Increase in interest-bearing loans, borrowings and finance leases
|
1,656
|
91
|
901
|
||||
Net cash flow arising from derivative financial instruments
|
27
|
(17)
|
(11)
|
||||
Premium paid on early debt redemption
|
(38)
|
-
|
-
|
||||
Repayment of interest-bearing loans, borrowings and finance leases
|
(1,231)
|
(752)
|
(934)
|
||||
Dividends paid to equity holders of the Company
|
(235)
|
(238)
|
(353)
|
||||
Dividends paid to non-controlling interests
|
(2)
|
(1)
|
(4)
|
||||
Net cash inflow/(outflow) from financing activities
|
1,811
|
(900)
|
(380)
|
||||
Increase/(decrease) in cash and cash equivalents
|
1,799
|
(1,411)
|
625
|
||||
Reconciliation of opening to closing cash and cash equivalents
|
|||||||
Cash and cash equivalents at beginning of period
|
3,295
|
2,540
|
2,540
|
||||
Translation adjustment
|
145
|
17
|
130
|
||||
Increase/(decrease) in cash and cash equivalents
|
1,799
|
(1,411)
|
625
|
||||
Cash and cash equivalents at end of period
|
5,239
|
1,146
|
3,295
|
||||
Reconciliation of opening to closing net debt
|
|||||||
Net debt at beginning of period
|
(2,492)
|
(2,973)
|
(2,973)
|
||||
Debt in acquired companies
|
-
|
(1)
|
(7)
|
||||
Increase in interest-bearing loans, borrowings and finance leases
|
(1,656)
|
(91)
|
(901)
|
||||
Net cash flow arising from derivative financial instruments
|
(27)
|
17
|
11
|
||||
Repayment of interest-bearing loans, borrowings and finance leases
|
1,231
|
752
|
934
|
||||
Increase/(decrease) in cash and cash equivalents
|
1,799
|
(1,411)
|
625
|
||||
Mark-to-market adjustment
|
47
|
8
|
(3)
|
||||
Translation adjustment
|
(114)
|
(4)
|
(178)
|
||||
Net debt at end of period
|
(1,212)
|
(3,703)
|
(2,492)
|
||||
1. Basis of Preparation and Accounting Policies
|
· IAS 19 Defined Benefit Plans: Employee Contributions
|
· Annual Improvements 2010-2012 Cycle
|
· Annual Improvements 2011-2013 Cycle
|
Average
|
Period end
|
|||||||
Six months ended
|
Year ended
|
Six months ended
|
Year ended
|
|||||
30 June
|
31 December
|
30 June
|
31 December
|
|||||
euro 1 =
|
2015
|
2014
|
2014
|
2015
|
2014
|
2014
|
||
US Dollar
|
1.1158
|
1.3703
|
1.3290
|
1.1189
|
1.3658
|
1.2141
|
||
Pound Sterling
|
0.7323
|
0.8213
|
0.8062
|
0.7114
|
0.8015
|
0.7789
|
||
Polish Zloty
|
4.1409
|
4.1755
|
4.1839
|
4.1911
|
4.1568
|
4.2732
|
||
Ukrainian Hryvnia
|
24.0453
|
14.4075
|
15.8908
|
23.5271
|
16.0501
|
19.1814
|
||
Swiss Franc
|
1.0567
|
1.2215
|
1.2147
|
1.0413
|
1.2156
|
1.2024
|
||
Canadian Dollar
|
1.3774
|
1.5029
|
1.4664
|
1.3839
|
1.4589
|
1.4063
|
||
Argentine Peso
|
9.8426
|
10.7423
|
10.7785
|
10.1655
|
11.1082
|
10.2645
|
||
Indian Rupee
|
70.1244
|
83.2889
|
81.0576
|
71.1873
|
82.2023
|
76.7190
|
||
Turkish Lira
|
2.8626
|
2.9678
|
2.9068
|
2.9953
|
2.8969
|
2.8320
|
||
Chinese Renminbi
|
6.9408
|
8.4500
|
8.1883
|
6.9366
|
8.4722
|
7.5358
|
||
1. Basis of Preparation and Accounting Policies - continued
|
€ million
|
Sales
|
EBITDA(i)
|
Operating
|
Profit on
|
Finance
|
Assoc.
|
Pre-tax
|
revenue
|
profit
|
disposals
|
Costs (net)
|
and JV
|
profit
|
||
PAT
|
|||||||
First half 2014
|
8,324
|
505
|
171
|
17
|
(150)
|
23
|
61
|
Exchange effects
|
1,042
|
59
|
15
|
2
|
(14)
|
1
|
4
|
Incremental impact in 2015 of:
|
|||||||
- 2014/2015 acquisitions
|
69
|
6
|
3
|
-
|
-
|
-
|
3
|
- 2014/2015 divestments
|
(313)
|
(40)
|
(28)
|
35
|
-
|
(8)
|
(1)
|
- One-off costs (ii)
|
-
|
(44)
|
(44)
|
-
|
(38)
|
-
|
(82)
|
- Organic
|
248
|
69
|
72
|
18
|
3
|
(15)
|
78
|
First half 2015
|
9,370
|
555
|
189
|
72
|
(199)
|
1
|
63
|
(i) Throughout this report, EBITDA is defined as earnings before interest, taxes, depreciation, amortisation, asset impairment charges, profit on disposals and the Group's share of equity accounted investments' profit after tax.
|
(ii) Included in one-off costs is a provision of €32 million relating to a fine from the Swiss Competition Commission, please see note 15 for further details. During the period the Group redeemed US$ 0.97 billion of its US$1.6 billion
bonds that were due in 2016 resulting in a one-off finance cost of €38 million. |
3. Segmental Analysis of Revenue, EBITDA, Operating Profit and Total Assets
|
Six months ended 30 June - Unaudited
|
Year ended 31 December - Audited
|
|||||||||||||||
2015
|
2014*
|
2014
|
||||||||||||||
€ m
|
%
|
€ m
|
%
|
€ m
|
%
|
|||||||||||
Revenue
|
||||||||||||||||
Europe Heavyside
|
1,760
|
18.8
|
1,885
|
22.6
|
3,929
|
20.8
|
||||||||||
Europe Lightside
|
475
|
5.1
|
463
|
5.7
|
913
|
4.8
|
||||||||||
Europe Distribution
|
2,010
|
21.4
|
1,922
|
23.1
|
3,999
|
21.1
|
||||||||||
Americas Materials
|
2,235
|
23.9
|
1,718
|
20.6
|
5,070
|
26.8
|
||||||||||
Americas Products
|
1,903
|
20.3
|
1,575
|
18.9
|
3,225
|
17.1
|
||||||||||
Americas Distribution
|
987
|
10.5
|
761
|
9.1
|
1,776
|
9.4
|
||||||||||
9,370
|
100.0
|
8,324
|
100.0
|
18,912
|
100.0
|
|||||||||||
EBITDA
|
||||||||||||||||
Europe Heavyside
|
125
|
22.5
|
160
|
31.7
|
380
|
23.2
|
||||||||||
Europe Lightside
|
46
|
8.3
|
44
|
8.7
|
94
|
5.7
|
||||||||||
Europe Distribution
|
54
|
9.7
|
79
|
15.6
|
190
|
11.6
|
||||||||||
Americas Materials
|
113
|
20.4
|
63
|
12.5
|
609
|
37.1
|
||||||||||
Americas Products
|
179
|
32.3
|
131
|
25.9
|
263
|
16.0
|
||||||||||
Americas Distribution
|
38
|
6.8
|
28
|
5.6
|
105
|
6.4
|
||||||||||
555
|
100.0
|
505
|
100.0
|
1,641
|
100.0
|
|||||||||||
Europe Heavyside
|
87
|
23.8
|
100
|
29.9
|
229
|
31.6
|
||||||||||
Europe Lightside
|
13
|
3.5
|
12
|
3.6
|
23
|
3.2
|
||||||||||
Europe Distribution
|
38
|
10.4
|
36
|
10.8
|
78
|
10.8
|
||||||||||
Americas Materials
|
147
|
40.2
|
124
|
37.1
|
254
|
35.1
|
||||||||||
Americas Products
|
67
|
18.3
|
51
|
15.3
|
118
|
16.3
|
||||||||||
Americas Distribution
|
14
|
3.8
|
11
|
3.3
|
22
|
3.0
|
||||||||||
366
|
100.0
|
334
|
100.0
|
724
|
100.0
|
|||||||||||
Operating profit/(loss)
|
||||||||||||||||
Europe Heavyside
|
38
|
20.1
|
60
|
35.1
|
151
|
16.5
|
||||||||||
Europe Lightside
|
33
|
17.5
|
32
|
18.7
|
71
|
7.7
|
||||||||||
Europe Distribution
|
16
|
8.5
|
43
|
25.2
|
112
|
12.2
|
||||||||||
Americas Materials
|
(34)
|
(18.0)
|
(61)
|
(35.7)
|
355
|
38.7
|
||||||||||
Americas Products
|
112
|
59.2
|
80
|
46.8
|
145
|
15.8
|
||||||||||
Americas Distribution
|
24
|
12.7
|
17
|
9.9
|
83
|
9.1
|
||||||||||
189
|
100.0
|
171
|
100.0
|
917
|
100.0
|
|||||||||||
Profit on disposals
|
||||||||||||||||
Europe Heavyside
|
13
|
8
|
38
|
|||||||||||||
Europe Lightside
|
-
|
1
|
1
|
|||||||||||||
Europe Distribution
|
5
|
-
|
6
|
|||||||||||||
Americas Materials
|
21
|
6
|
11
|
|||||||||||||
Americas Products
|
33
|
1
|
20
|
|||||||||||||
Americas Distribution
|
-
|
1
|
1
|
|||||||||||||
72
|
17
|
77
|
||||||||||||||
Six months ended 30 June - Unaudited
|
Year ended 31 December - Audited
|
|||||||||||
2015
|
2014
|
2014
|
||||||||||
€ m
|
%
|
€ m
|
%
|
€ m
|
%
|
|||||||
Reconciliation of Group operating profit to profit before tax:
|
||||||||||||
Group operating profit (analysed on page 19)
|
189
|
171
|
917
|
|||||||||
Profit on disposals
|
72
|
17
|
77
|
|||||||||
Profit before finance costs
|
261
|
188
|
994
|
|||||||||
Finance costs less income
|
(139)
|
(128)
|
(246)
|
|||||||||
Other financial expense
|
(60)
|
(22)
|
(42)
|
|||||||||
Share of equity accounted investments'
profit
|
1
|
23
|
55
|
|||||||||
Profit before tax
|
63
|
61
|
761
|
|||||||||
Total assets
|
||||||||||||
Europe Heavyside
|
4,326
|
23.4
|
4,533
|
26.6
|
3,864
|
23.3
|
||||||
Europe Lightside
|
831
|
4.5
|
846
|
5.0
|
761
|
4.6
|
||||||
Europe Distribution
|
2,355
|
12.8
|
2,324
|
13.7
|
2,221
|
13.4
|
||||||
Americas Materials
|
6,994
|
37.9
|
5,898
|
34.6
|
6,245
|
37.7
|
||||||
Americas Products
|
2,875
|
15.6
|
2,554
|
15.0
|
2,542
|
15.3
|
||||||
Americas Distribution
|
1,072
|
5.8
|
876
|
5.1
|
951
|
5.7
|
||||||
18,453
|
100.0
|
17,031
|
100.0
|
16,584
|
100.0
|
|||||||
Reconciliation to total assets as reported in the
Condensed Consolidated Balance Sheet:
|
||||||||||||
Investments accounted for using the equity method
|
1,415
|
1,351
|
1,329
|
|||||||||
Other financial assets
|
25
|
23
|
23
|
|||||||||
Derivative financial instruments (current and non-current)
|
92
|
85
|
102
|
|||||||||
Income tax assets (current and deferred)
|
157
|
154
|
186
|
|||||||||
Cash and cash equivalents
|
5,239
|
1,146
|
3,262
|
|||||||||
Assets held for sale
|
-
|
-
|
531
|
|||||||||
Total assets
|
25,381
|
19,790
|
22,017
|
|||||||||
5. Net Finance Costs
|
Six months ended 30 June
|
Year ended 31 December
|
||||||
Unaudited
|
Unaudited
|
Audited
|
|||||
2015
|
2014
|
2014
|
|||||
€ m
|
€ m
|
€ m
|
|||||
Finance costs
|
144
|
137
|
254
|
||||
Finance income
|
(5)
|
(9)
|
(8)
|
||||
Other financial expense
|
60
|
22
|
42
|
||||
Total net finance costs
|
199
|
150
|
288
|
||||
The overall total is analysed as follows:
|
|||||||
Net finance costs on interest-bearing loans and borrowings and cash and cash equivalents
|
142
|
135
|
258
|
||||
Net credit re change in fair value of derivatives
|
(3)
|
(7)
|
(12)
|
||||
Net debt-related interest costs
|
139
|
128
|
246
|
||||
Premium paid on early debt redemption
|
38
|
-
|
-
|
||||
Net pension-related finance cost
|
8
|
7
|
14
|
||||
Charge to unwind discount on provisions/deferred consideration
|
14
|
15
|
28
|
||||
Total net finance costs
|
199
|
150
|
288
|
||||
As at 30 June
|
As at 31 December
|
||||||||||
Unaudited
|
Unaudited
|
Audited
|
|||||||||
Fair value
|
Book value
|
Fair value
|
Book
value
|
Fair value
|
Book
value
|
||||||
2015
|
2014
|
2014
|
|||||||||
Gross debt
|
€ m
|
€ m
|
€ m
|
€ m
|
€ m
|
€ m
|
|||||
Non-current assets
|
|||||||||||
Derivative financial instruments
|
70
|
70
|
73
|
73
|
87
|
87
|
|||||
Current assets
|
|||||||||||
Derivative financial instruments
|
22
|
22
|
12
|
12
|
15
|
15
|
|||||
Non-current liabilities
|
|||||||||||
Interest-bearing loans and borrowings
|
(6,495)
|
(6,169)
|
(4,669)
|
(4,301)
|
(5,845)
|
(5,419)
|
|||||
Derivative financial instruments
|
(14)
|
(14)
|
(3)
|
(3)
|
(3)
|
(3)
|
|||||
Current liabilities
|
|||||||||||
Interest-bearing loans and borrowings
|
(355)
|
(351)
|
(628)
|
(611)
|
(457)
|
(447)
|
|||||
Derivative financial instruments
|
(9)
|
(9)
|
(19)
|
(19)
|
(20)
|
(20)
|
|||||
Gross debt
|
(6,781)
|
(6,451)
|
(5,234)
|
(4,849)
|
(6,223)
|
(5,787)
|
|||||
Cash and cash equivalents
|
5,239
|
5,239
|
1,146
|
1,146
|
3,295
|
3,295
|
|||||
Cash reclassified as held for sale
|
-
|
-
|
-
|
-
|
(33)
|
(33)
|
|||||
Group net debt excluding cash reclassified as held for sale
|
(1,542)
|
(1,212)
|
(4,088)
|
(3,703)
|
(2,961)
|
(2,525)
|
|||||
Gross debt, net of derivatives, matures as follows:
|
As at 31December 2014
€ m
|
||||||||||
As at 30 June 2015
€ m
|
As at 30 June 2014
€ m
|
||||||||||
Within one year
|
(338)
|
(618)
|
(452)
|
||||||||
Between one and two years
|
(469)
|
(323)
|
(1,374)
|
||||||||
Between two and five years
|
(1,077)
|
(1,912)
|
(1,034)
|
||||||||
After five years
|
(4,567)
|
(1,996)
|
(2,927)
|
||||||||
Total
|
(6,451)
|
(4,849)
|
(5,787)
|
||||||||
As at 30 June
|
As at 31 December
|
||||||
Unaudited
|
Unaudited
|
Audited
|
|||||
2015
|
2014
|
2014
|
|||||
€ m
|
€ m
|
€ m
|
|||||
Within one year
|
-
|
-
|
22
|
||||
Between one and two years
|
1,840
|
-
|
-
|
||||
Between two and five years
|
965
|
85
|
2,641
|
||||
After five years
|
2,787
|
2,500
|
-
|
||||
5,592
|
2,585
|
2,663
|
|||||
(1) Minimum interest cover defined as PBITDA/net interest (all as defined in the relevant agreement) cover at no lower than 4.5 times. As at 30 June 2015 the ratio was 6.9 times (30 June 2014: 6.8 times).
|
(2) Minimum net worth defined as total equity plus deferred tax liabilities and capital grants less repayable capital grants being in aggregate no lower than €5.6 billion (30 June 2014: €5.0 billion) (such minimum being adjusted for foreign exchange translation impacts). As at 30 June 2015, net worth (as defined in the relevant agreement) was €13.9 billion (30 June 2014: €10.5 billion).
|
Level 2 (i)
|
Level 3 (i)
|
||||||||||
As at 30 June |
As at 31 December
|
As at 30 June
|
As at 31 December
|
||||||||
Unaudited
|
Audited
|
Unaudited
|
Audited
|
||||||||
2015
|
2014
|
2014
|
2015
|
2014
|
2014
|
||||||
Assets measured at fair value
|
€ m
|
€ m
|
€ m
|
€ m
|
€ m
|
€ m
|
|||||
Fair value hedges: cross currency
and interest rate swaps
|
54
|
67
|
78
|
-
|
-
|
-
|
|||||
Cash flow hedges: cross currency, interest rate swaps and commodity forwards
|
2
|
2
|
2
|
-
|
-
|
-
|
|||||
Net investment hedges: cross currency swaps
|
8
|
8
|
13
|
-
|
-
|
-
|
|||||
Not designated as hedges
(held-for-trading): interest rate swaps
|
28
|
8
|
9
|
-
|
-
|
-
|
|||||
Total
|
92
|
85
|
102
|
-
|
-
|
-
|
|||||
Liabilities measured at fair value
|
|||||||||||
Fair value hedges: cross currency and interest rate swaps
|
(14)
|
-
|
-
|
-
|
-
|
-
|
|||||
Cash flow hedges: cross currency, interest rate swaps and commodity forwards
|
-
|
(14)
|
(10)
|
-
|
-
|
-
|
|||||
Net investment hedges: cross currency swaps
|
(9)
|
(8)
|
(4)
|
-
|
-
|
-
|
|||||
Not designated as hedges (held-for-trading): interest rate swaps
|
-
|
-
|
(9)
|
-
|
-
|
-
|
|||||
Contingent consideration
|
-
|
-
|
-
|
(110)
|
(111)
|
(122)
|
|||||
Total
|
(23)
|
(22)
|
(23)
|
(110)
|
(111)
|
(122)
|
(i) For financial reporting purposes, fair value measurements are categorised into Level 1, 2 or 3 based on the degree to which inputs to the fair value measurements are observable and the significance of the inputs to the fair value
measurement in its entirety, which are described as follows: |
Six months ended 30 June
|
Year ended
31 December
|
||||
Unaudited
|
Unaudited
|
Audited
|
|||
2015
|
2014
|
2014
|
|||
€ m
|
€ m
|
€ m
|
|||
Group profit for the financial period
|
47
|
46
|
584
|
||
Profit attributable to non-controlling interests
|
(1)
|
(1)
|
(2)
|
||
Numerator for basic and diluted earnings per Ordinary Share
|
46
|
45
|
582
|
||
Depreciation charge
|
344
|
312
|
631
|
||
Amortisation of intangible assets
|
22
|
22
|
44
|
||
Impairment of property, plant and equipment and intangible assets
|
-
|
-
|
49
|
||
Numerator for cash earnings per Ordinary Share (i)
|
412
|
379
|
1,306
|
||
Number of
|
Number of
|
Number of
|
|||
Denominator for basic earnings per Ordinary Share
|
Shares
|
Shares
|
Shares
|
||
Weighted average number of Ordinary Shares (millions) in issue
|
802.8
|
735.4
|
737.6
|
||
Effect of dilutive potential Ordinary Shares (share options) (millions)
|
3.0
|
1.4
|
0.7
|
||
Denominator for diluted earnings per Ordinary Share (millions)
|
805.8
|
736.8
|
738.3
|
||
Earnings per Ordinary Share
|
€ cent
|
€ cent
|
€ cent
|
||
- basic
|
5.7
|
6.1
|
78.9
|
||
- diluted
|
5.7
|
6.1
|
78.8
|
||
Cash earnings per Ordinary Share (i)
|
51.3
|
51.5
|
177.1
|
(i) Cash earnings per Ordinary Share, a non-GAAP financial measure, is presented here for information as management believes it is a useful financial indicator of the Group's ability to generate cash from operations.
|
Six months ended 30 June
|
Year ended
31 December
|
||||
Unaudited
|
Unaudited
|
Audited
|
|||
2015
|
2014
|
2014
|
|||
€ m
|
€ m
|
€ m
|
|||
Inflows
|
|||||
Profit before tax
|
63
|
61
|
761
|
||
Depreciation and amortisation including impairments
|
366
|
334
|
724
|
||
429
|
395
|
1,485
|
|||
Outflows
|
|||||
Working capital (outflow)/inflow (i)
|
(597)
|
(579)
|
69
|
||
Tax payments
|
(47)
|
(28)
|
(127)
|
||
Capital expenditure
|
(338)
|
(213)
|
(435)
|
||
Premium paid on early debt redemption
|
(38)
|
-
|
-
|
||
Other (ii)
|
(22)
|
(15)
|
(90)
|
||
(1,042)
|
(835)
|
(583)
|
|||
Operating cash (outflow)/inflow
|
(613)
|
(440)
|
902
|
||
Pension payments
|
4
|
1
|
(66)
|
||
Acquisitions and investments (iii)
|
(113)
|
(130)
|
(188)
|
||
Proceeds from disposals
|
670
|
56
|
345
|
||
Share issues (iv)
|
1,758
|
102
|
129
|
||
Dividends (before scrip dividend)
|
(359)
|
(323)
|
(460)
|
||
Translation and mark-to-market adjustments
|
(67)
|
4
|
(181)
|
||
Decrease/(increase) in net debt
|
1,280
|
(730)
|
481
|
(i) Working capital (outflow)/inflow includes the difference between net finance costs (included in profit before tax) and interest paid and received.
|
(ii) Primarily non-cash items included in profit before tax, including profits on disposals/divestments of €72 million (H1 2014: €17 million), share-based payments expense of €14 million (H1 2014: €8 million) and CRH's share of equity
accounted investments' profit of €1 million (H1 2014: €23 million). This line item also includes dividends received from equity accounted investments of €33 million (H1 2014: €18 million). |
(iii) Acquisitions and investments spend comprises consideration for acquisition of subsidiaries, deferred and contingent consideration paid, other investments and advances.
|
(iv) Proceeds from share issues include scrip dividends of €124 million (H1 2014: €85 million).
|
10. Business and Non-Current Asset Disposals
|
Business disposals
|
Disposal of other
non - current assets
|
Total
|
||||||
2015
|
2014
|
2015
|
2014
|
2015
|
2014
|
|||
€ m
|
€ m
|
€ m
|
€ m
|
€ m
|
€ m
|
|||
Net assets disposed
|
595
|
7
|
29
|
32
|
624
|
39
|
||
Proceeds from disposals (net of disposal costs)
|
649
|
7
|
47
|
49
|
696
|
56
|
||
Profit on disposals
|
54
|
-
|
18
|
17
|
72
|
17
|
||
Net cash inflow arising on disposal
|
||||||||
Proceeds from disposals
|
649
|
7
|
47
|
49
|
696
|
56
|
||
Less: cash and cash equivalents disposed
|
(15)
|
-
|
-
|
-
|
(15)
|
-
|
||
Less: deferred proceeds arising on disposal
|
(11)
|
-
|
-
|
-
|
(11)
|
-
|
||
Total
|
623
|
7
|
47
|
49
|
670
|
56
|
Six months ended 30 June - unaudited
|
||||||||||||
Reportable segments
|
Number of acquisitions
|
Goodwill
|
Consideration
|
|||||||||
2015
|
2014
|
2015
|
2014
|
2015
|
2014
|
|||||||
€ m
|
€ m
|
€ m
|
€ m
|
|||||||||
Europe Lightside
|
1
|
-
|
3
|
-
|
10
|
-
|
||||||
Europe Distribution
|
-
|
3
|
-
|
4
|
-
|
11
|
||||||
Americas Materials
|
5
|
4
|
4
|
4
|
18
|
62
|
||||||
Americas Products
|
1
|
4
|
7
|
10
|
48
|
47
|
||||||
Total Group
|
7
|
11
|
14
|
18
|
76
|
120
|
||||||
Adjustments to provisional fair values of prior period acquisitions
|
-
|
(3)
|
-
|
(4)
|
||||||||
Total
|
14
|
15
|
76
|
116
|
Six months ended 30 June
|
Year ended
31 December
|
||||
Unaudited
|
Unaudited
|
Audited
|
|||
2015
|
2014
|
2014
|
|||
Assets
|
€ m
|
€ m
|
€ m
|
||
Non-current assets
|
|||||
Property, plant and equipment
|
36
|
70
|
91
|
||
Intangible assets
|
19
|
12
|
16
|
||
Total non-current assets
|
55
|
82
|
107
|
||
Current assets
|
|||||
Inventories
|
9
|
16
|
23
|
||
Trade and other receivables (i)
|
12
|
11
|
20
|
||
Cash and cash equivalents
|
-
|
1
|
1
|
||
Total current assets
|
21
|
28
|
44
|
||
Liabilities
|
|||||
Trade and other payables
|
(12)
|
(8)
|
(17)
|
||
Provisions for liabilities (stated at net present cost)
|
(1)
|
-
|
(1)
|
||
Interest-bearing loans and borrowings and finance leases
|
-
|
(1)
|
(7)
|
||
Deferred income tax liabilities
|
(1)
|
-
|
(2)
|
||
Total liabilities
|
(14)
|
(9)
|
(27)
|
||
Total identifiable net assets at fair value
|
62
|
101
|
124
|
||
Goodwill arising on acquisition (ii)
|
14
|
15
|
31
|
||
Total consideration
|
76
|
116
|
155
|
||
Consideration satisfied by:
|
|||||
Cash payments
|
74
|
116
|
152
|
||
Deferred consideration (stated at net present cost)
|
2
|
-
|
1
|
||
Contingent consideration
|
-
|
-
|
2
|
||
Total consideration
|
76
|
116
|
155
|
||
Net cash outflow arising on acquisition
|
|||||
Cash consideration
|
74
|
116
|
152
|
||
Less: cash and cash equivalents acquired
|
-
|
(1)
|
(1)
|
||
Total (iii)
|
74
|
115
|
151
|
(i) The gross contractual value of trade and other receivables as at the respective dates of acquisition amounted to €12 million (H1 2014: €11 million). The fair value of these receivables was €12 million (all of which is expected to be
recoverable) (H1 2014: €11 million). |
(ii) The principal factor contributing to the recognition of goodwill on acquisitions entered into by the Group is the realisation of cost savings and other synergies with existing entities in the Group which do not qualify for separate
recognition as intangible assets. Due to the asset-intensive nature of operations in the Europe Heavyside and Americas Materials business segments, no significant intangible assets are recognised on business combinations in these segments. €11 million of the goodwill recognised in respect of acquisitions completed in the first half of 2015 is expected to be deductible for tax purposes (H1 2014: €14 million). |
(iii) The total cash outflow of €74 million arising on acquisitions is reported in the Condensed Consolidated Statement of Cash Flows on page 16. In addition, the Group made other investments and advances of €7 million during the
period. These amounts, combined with deferred and contingent consideration of €32 million paid in the first half of 2015 in respect of acquisitions in prior years, result in total acquisition and investment spend for the half-year of €113 million; this is the figure reported in the summarised cash flow in note 9 on page 24. |
Book
|
Fair value
|
Fair
|
|
values
|
adjustments
|
value
|
|
€ m
|
€ m
|
€ m
|
|
Non-current assets
|
32
|
23
|
55
|
Current assets
|
20
|
1
|
21
|
Liabilities
|
(13)
|
(1)
|
(14)
|
Identifiable net assets acquired
|
39
|
23
|
62
|
Goodwill arising on acquisition (see (ii) above)
|
37
|
(23)
|
14
|
Total consideration
|
76
|
-
|
76
|
Six months ended 30 June
|
Year ended
31 December
|
||
Unaudited
|
Unaudited
|
Audited
|
|
2015
|
2014
|
2014
|
|
%
|
%
|
%
|
|
Eurozone
|
2.50
|
2.90
|
2.00
|
Britain and Northern Ireland
|
3.90
|
4.30
|
3.50
|
Switzerland
|
1.05
|
1.90
|
1.15
|
United States
|
4.30
|
4.00
|
3.80
|
Six months ended 30 June - unaudited
|
||||||
Assets
|
Liabilities
|
Net liability
|
||||
2015
|
2014
|
2015
|
2014
|
2015
|
2014
|
|
€ m
|
€ m
|
€ m
|
€ m
|
€ m
|
€ m
|
|
At 1 January
|
2,046
|
2,314
|
(2,757)
|
(2,724)
|
(711)
|
(410)
|
Administration expenses
|
-
|
(1)
|
-
|
-
|
-
|
(1)
|
Current service cost
|
-
|
-
|
(32)
|
(24)
|
(32)
|
(24)
|
Interest income on scheme assets
|
25
|
42
|
-
|
-
|
25
|
42
|
Interest cost on scheme liabilities
|
-
|
-
|
(33)
|
(49)
|
(33)
|
(49)
|
Gain on settlements
|
-
|
-
|
6
|
-
|
6
|
-
|
Remeasurement adjustments
|
||||||
-return on scheme assets excluding interest income
|
52
|
71
|
-
|
-
|
52
|
71
|
-actuarial gain/(loss) from changes in financial assumptions
|
-
|
-
|
114
|
(268)
|
114
|
(268)
|
-actuarial gain from changes in experience adjustments
|
-
|
-
|
5
|
-
|
5
|
-
|
Employer contributions paid
|
22
|
24
|
-
|
-
|
22
|
24
|
Contributions paid by plan participants
|
7
|
6
|
(7)
|
(6)
|
-
|
-
|
Benefit and settlement payments
|
(55)
|
(51)
|
55
|
51
|
-
|
-
|
Translation adjustment
|
193
|
36
|
(234)
|
(42)
|
(41)
|
(6)
|
Divestments
|
(111)
|
-
|
114
|
-
|
3
|
-
|
At 30 June
|
2,179
|
2,441
|
(2,769)
|
(3,062)
|
(590)
|
(621)
|
Related deferred income tax asset
|
123
|
111
|
||||
Net retirement benefit obligations
|
(467)
|
(510)
|
The taxation expense for the interim period is an estimate based on the expected full year effective tax rate on full year profits.
|
|
|
16. Other
|
Six months ended 30 June
|
Year ended
31 December
|
|||
Unaudited
|
Unaudited
|
Audited
|
|||
2015
|
2014
|
2014
|
|||
Net debt-related interest cover (note 5)
|
|||||
EBITDA interest cover (times)
|
-six months to 30 June
|
4.0
|
3.9
|
-
|
|
-rolling 12 months
|
6.6
|
6.2
|
6.7
|
||
EBIT* interest cover (times)
|
-six months to 30 June
|
1.4
|
1.3
|
-
|
|
-rolling 12 months
|
3.6
|
0.9
|
3.7
|
||
Net dividend paid per share (€ cent)
|
44.0
|
44.0
|
62.5
|
||
Net dividend declared for the period (€ cent)
|
18.5
|
18.5
|
62.5
|
||
Dividend cover (Earnings per share/Dividend declared per share)
|
0.31x
|
0.33x
|
1.26x
|
||
€ m
|
€ m
|
€ m
|
|||
Depreciation charge
|
344
|
312
|
631
|
||
Amortisation of intangibles
|
22
|
22
|
44
|
||
Impairment of property, plant and equipment
|
-
|
-
|
49
|
||
Commitments to purchase property, plant and equipment:
|
|||||
- Contracted for but not provided in the financial statements
|
196
|
161
|
211
|
||
Market capitalisation at period-end (€ m)
|
20,814
|
13,851
|
14,741
|
||
Total equity at period-end (€ m)
|
12,544
|
9,299
|
10,198
|
||
Net debt (€ m)
|
1,212
|
3,703
|
2,492
|
||
Net debt as a percentage of market capitalisation
|
6%
|
27%
|
17%
|
||
Net debt as a percentage of total equity
|
10%
|
40%
|
24%
|
* EBIT is defined as earnings before interest, tax, profit on disposals and the Group's share of equity accounted investments' profit after tax. Cover is based on net-debt related interest (see note 5).
|
1) the Condensed Consolidated Unaudited Financial Statements for the six months ended 30 June 2015 have been prepared in accordance with International Accounting Standard 34 Interim Financial Reporting, the accounting
standard applicable to interim financial reporting adopted pursuant to the procedure provided for under Article 6 of Regulation (EC) no. 1606/2002 of the European Parliament and of the Council of 19 July 2002, and give a true and fair view of the assets, liabilities, financial position and profit or loss of the Group for the six months ended 30 June 2015; |
2) the interim management report includes a fair review of:
|
I. the important events that have occurred during the first six months of the financial year, and their impact on the condensed consolidated set of financial statements;
|
II. the principal risks and uncertainties for the remaining six months of the financial year;
|
III. any related parties' transactions that have taken place in the first six months of the current financial year that have materially affected the financial position or the performance of the enterprise during that period; and
|
IV. any changes in the related parties' transactions described in the 2014 Annual Report that could have had a material effect on the financial position or performance of the enterprise in the first six months of the current financial
year. |
Albert Manifold
|
Chief Executive
|
Maeve Carton
|
Finance Director
|