Best year since financial crisis for HeidelbergCement
Preliminary figures for 2016 reveal significant rise in sales volumes, revenue and operating income
PRELIMINARY results for the full year ended 31 December indicate that 2016 was HeidelbergCement’s best year since the financial crisis, with the company recording a significant rise in sales volumes, revenue, and operating income after the consolidation of Italcementi
Last year group revenue was up by 13% to €15.2 billion, compared with €13.5 billion in 2105, while operating income before depreciation (OIBD) increased by 13% to €2.9 billion (2015: €2.6 billion).
In 2016, sales of cement and ready-mixed concrete were up 28% and 16% to 103.8 million tonnes and 42.5 million cubic metres, respectively, while aggregate sales volumes were up 9% to 272 million tonnes and asphalt sales were up 3% to 9.4 million tonnes.
Commenting on the results, Dr Bernd Scheifele (pictured), chairman of the managing board of HeidelbergCement, described 2016 as an important milestone for the company.
‘With the acquisition of Italcementi, we made a big leap in growth and achieved the best operating income since the financial crisis,’ he said. ‘The integration of Italcementi is well under way and offers significant earnings potential resulting from the implementation of identified synergies.
‘With the investment grade rating, we reached our strategic target as result of our strengthened business profile and improved creditworthiness. Our consistent focus on efficiency and margin improvement during the last years made a major contribution.’
Looking ahead, Dr Scheifele said: ‘With our strong positioning in raw material reserves and production sites in attractive locations, our unique vertical integration, and excellent product portfolio, as well as our margin management which is best in class in our industry, we believe that we are well equipped for the opportunities and challenges of 2017.’