First-half margin expansion driven by scaling up sustainable offering to meet customer demand
HOLCIM have reported net sales of CHF7,871 million in the first half (H1) of 2025 – up +1.8% in local currency compared with the prior year, with improving momentum in the second quarter.
Recurring EBIT for H1 2025 grew over-proportionally compared with net sales to CHF1,440 million, a rise of 10.8% in local currency versus the prior-year period and up 3% in Swiss francs. A 90 basis point increase in recurring EBIT margin to 18.3% was driven by scaling up Holcim’s sustainable offering to meet customer demand, with decarbonization and circular construction also driving profitable growth.
Holcim’s earnings per share before impairment and divestments in H1 2025 were CHF1.57, up 7.4% from the prior-year period.
Free cash flow before leases was CHF156 million in H1 2025, compared with CHF220 million in H1 2024, on track to achieve full-year 2025 guidance of around CHF2 billion before leases.
On 23 June 2025, Holcim successfully completed the spin-off of their North American business. Following the spin-off, Holcim have embarked on their next growth phase with their NextGen Growth 2030 strategy, unveiled on 28 March, to advance Holcim’s position as the leading partner for sustainable construction.
Chief executive officer Miljan Gutovic said: ‘I thank all of our 48,000 employees worldwide for their contributions to our excellent half-year results. Holcim is the leading partner for sustainable construction, and we are unlocking significant opportunities through our new NextGen Growth 2030 strategy – the foundation of a new era of growth and value creation.
‘In H1, we delivered broad-based profitable growth with a double-digit increase in recurring EBIT, an industry-leading margin of 18.3%, and a significant rise in earnings per share. Margin expansion was driven by our high-value strategy, scaling up our sustainable offering to meet customer demand, and decarbonization and circular construction driving profitable growth. Since the start of 2025, we have also completed 11 value-accretive transactions with a focus on attractive markets.
‘Holcim’s deeply embedded performance culture delivers superior financial returns and value creation for our people, our customers, and our shareholders. For the full year, our guidance post spin-off includes delivering recurring EBIT growth of 6% to 10% in local currency, with a margin of above 18%, and free cash flow before leases of around CHF2 billion.’
