Heidelberg Materials has posted encouraging first-half-year results while significantly upgrading its 2023 full-year outlook.
The German building materials heavyweight saw its revenue increase by 8.5% to €10,473mn. The Group’s CO₂ emissions were reduced by a further 2.4%, with the EU Innovation Fund agreeing to support the pioneering CCS project in Germany.
Heidelberg Materials’ significantly upgraded 2023 outlook sees ‘result from current operations’ expected to be €2.7bn to €2.9bn (previously: €2.5bn and €2.65bn).
“We have closed the first half of 2023 with a good result,” said Dr Dominik von Achten, chairman of the managing board of Heidelberg Materials. “Even in a weaker market environment, with significant declines in sales volumes in some cases, we performed quite well. We remain confident about the second half of the year and are once again upgrading our outlook for 2023 significantly.
“We also continue to make good progress on sustainability. In the first half of 2023, we achieved a further reduction in our specific net CO₂ emissions through numerous measures. With the large number of our carbon capture, utilisation, and storage (CCUS) projects, we are aiming at the full decarbonisation of our products. Just recently, one of our pioneering CCS projects in Germany was approved to receive funding from the EU Innovation Fund. The continuous reduction of our carbon footprint and strengthening the circular economy are our most powerful levers to offer our customers climate-friendly products on a large scale.”
René Aldach, chief financial officer of Heidelberg Materials, said: “We have further improved our financial figures. We will start the third tranche of our share buyback programme tomorrow. This demonstrates our financial strength.”
Heidelberg Materials said that the good order situation for infrastructure projects and parts of the commercial construction sector should partly compensate for the decline in residential construction. The Group reports that energy prices have eased in the first half of 2023 but remain volatile and well above previous years’ levels.
