Irish Building Material Group Announce Increase In Profits

International Irish construction materials giant, CRH, this morning announced its full year results which show "another very strong performance in 2007," with full year profit before tax of €1,904 million, a 19% increase on 2006.

Results show that earnings per share increased by 17% - representing CRH's 15th consecutive year of profit and earnings growth.

However, the 19% higher pre-tax profit was less than the widely predicted profits of above €2 billion by some analysts.

Goodbody Stockbrokers had predicted pre-tax to come in closer to the €2 billion mark, while Davy expressed similar expectations.


Liam O'Mahony, Chief Executive, said today: "CRH's geographic, sectoral and product balance continued to deliver in 2007 both in terms of overall trading performance and acquisition activity. While developments over recent months have added to economic uncertainties, CRH is well positioned across its operations to deal with the evolving market circumstances.

CRH said that while organic growth is unlikely to be as strong as an outstanding 2007, due to expected declining levels of Irish and Spanish construction, it nonetheless expects that strong growth in Poland and Ukraine and continuing satisfactory activity levels in Nordic and Swiss markets will enable further good progress in 2008.

It said following record levels of acquisition activity in 2006 and 2007, and with an ongoing strong pipeline of opportunities CRH are continuing to develop Western European and North American businesses while building on their growing platforms in emerging markets.

Mr O'Mahony added: "With a relentless emphasis on operational efficiency, and targeted cost reduction measures, we remain focused on our twin goals - performance and growth - and on delivering a sixteenth consecutive year of profit and earnings growth in 2008."

(VB/JM)