Heidelberg Cement has reported that like for like demand for cement, aggregates and ready mixed concrete was up in the fourth quarter of 2010, compared to the same period in the previous year, despite the early start of the winter weather in Europe.This positive trend in the final three months helped the company to finish the year with a turnover of €11.8billion, up 5.8% from 2009 and a rise of 8.6% in operating income at €1.43billion."We are pleased with our Q4 results, which we realised despite an extreme
Heidelberg Cement
has reported that like for like demand for cement, aggregates and ready mixed concrete was up in the fourth quarter of 2010, compared to the same period in the previous year, despite the early start of the winter weather in Europe.This positive trend in the final three months helped the company to finish the year with a turnover of €11.8billion, up 5.8% from 2009 and a rise of 8.6% in operating income at €1.43billion.
“We are pleased with our Q4 results, which we realised despite an extremely early and harsh winter start in our European core markets,” said Heidelberg CEO Dr Bernd Scheifele. “We have successfully completed our “FitnessPlus 2010” cost saving programme generating €300million savings in 2010. With our advantageous geographical positioning in growth markets and the successful continuation of our efficiency and cost-saving programmes we are one of the first building materials companies to leave the crisis behind us and achieve increasing turnover and operating income.”Looking ahead, the company said, “The economic development in 2010 was overall better than expected. In 2011, development dynamics of economic growth still clearly differ from region to region.
In Asia and Africa, the positive trend is expected to continue. An improvement of economic output is also anticipated for North America and Europe. Uncertainties still remain regarding the strength and timescale of the economic recovery because of the high level of unemployment and national debt in individual countries.”In Western Europe, we anticipate a significant recovery of Northern Europe and Germany, driven by the strong economic development in Germany as well as other factors. In the UK, major transportation projects will be continued and are expected to lead to an overall stable development. Because of declining construction activities in Belgium and a weak Dutch construction market, further price pressure is anticipated in this region.
“The recovery in Eastern Europe and Central Asia has taken the longest time to arrive. Construction activity in Poland is currently gathering pace again and growth rates are expected to increase towards pre-crisis levels. While demand in the Czech Republic should stabilise and improve in the second half of 2011, we anticipate a continuation of the weak development in Hungary and Romania. In the countries in the eastern part of Eastern Europe and in Central Asia, further increasing cement volumes and a price recovery are expected.”
