HeidelbergCement AG

F:HEI

Top line up: Heidelberg Materials said Q2 was a strong quarter, with revenue up 6% and RCO up 4%, and management highlighted the first positive volume impact in more than 4 years.

Guidance narrowed: The company specified full-year guidance at EUR 3.4 billion to EUR 3.65 billion of profit, with ROIC slightly above 10% and CO2 emissions around last year’s level.

Pricing still key: Management said price-over-cost was slightly negative in Q2, mainly because of joint ventures and APAC, but remained confident it will be positive for the full year as price increases continue.

North America rebound: North America delivered strong Q2 growth, though management said cement margins were pressured by inflation and pricing was weaker than expected, especially versus aggregates.

M&A accelerating: Several deals were completed or progressed, including AmeriTex, Akcansa, Burnco and the planned MAAS acquisition, while the company also sold an old plant in Kazakhstan.

Shareholder returns up: Shareholder returns rose 13% thanks to higher dividends and buybacks, and the third tranche of the EUR 1.2 billion buyback is running with EUR 450 million already deployed.