- Strong growth in revenue and profits, with a significant focus on sustainability and shareholder returns.
Heidelberg, Germany – Heidelberg Materials, a leading global player in the building materials industry, has announced record-breaking business figures for the financial year 2023, showcasing robust growth and a strong commitment to sustainability.
In a challenging market environment, the company reported a 4% increase in Group revenue, reaching €21.2 billion. This growth is particularly noteworthy given the overall market conditions, indicating the company’s resilience and strategic focus on expanding its market presence.
The Result from Current Operations (RCO) surged by a remarkable 29% to €3.0 billion, demonstrating the company’s operational efficiency and the successful implementation of its business strategies. This significant growth in RCO is a testament to Heidelberg Materials’ strong market positioning and its ability to adapt and thrive amidst economic fluctuations.
Earnings per share also saw a substantial increase, rising by 23% to €10.4. This growth in earnings reflects the company’s robust financial health and its ability to generate value for its shareholders.
A key highlight of the company’s financial performance is the Return on Invested Capital (ROIC), which exceeded 10% for the first time, reaching 10.3% compared to 9.1% in the previous year. This achievement underscores the effectiveness of Heidelberg Materials’ investment strategies and its focus on generating high returns on investments.
Heidelberg Materials continues to prioritize shareholder returns, as evidenced by the announcement of a new share buyback program worth €1.2 billion. This move reaffirms the company’s commitment to delivering value to its shareholders and its confidence in the company’s future prospects.
In line with its commitment to sustainability, Heidelberg Materials reported a 3% reduction in specific net CO₂ emissions compared to the previous year, highlighting its ongoing efforts to minimize its environmental impact. The introduction of new brands for its sustainable product portfolio is a step forward in the company’s journey towards achieving net zero emissions.
Looking ahead to 2024, Heidelberg Materials maintains an optimistic outlook, with expectations of continued revenue growth and an RCO projected to be in the range of €3.0 to €3.3 billion. This positive outlook is a reflection of the company’s strong fundamentals, strategic initiatives, and its ability to navigate market challenges effectively.