Sustainable products drive earnings stability in the building materials industry
Holcim kept its sales stable year-on-year at around CHF 5.5 billion in the first quarter of 2025. Recurring operating profit increased by 1.7 percent in local currencies. The Zug-based building materials group is sticking to its targets for 2025.
Holcim AG generated global sales totaling 5.54 billion Swiss francs in the first quarter of 2025, the Zug-based building materials group announced in a press release. In the same period of the previous year, sales were at the same level at 5.59 billion Swiss francs. At CHF 515 million, recurring operating profit at EBIT level was 3.1 percent weaker than in the first quarter of 2024. In local currencies, however, EBIT growth of 1.7 percent was achieved.
“We achieved a disproportionately high increase in recurring EBIT in the first quarter and maintained the margin level,” said Holcim CEO Miljan Gutovic in the press release. “The growing demand from our customers for our sustainable building solutions contributed to ECOPact and ECOPlanet’s share of sales in their respective product lines reaching new highs.” Specifically, the sales share of low-carbon ECOPact concrete increased from 26% to 32% year-on-year. At the same time, the low-carbon ECOPlanet cement improved its share of sales from 26% to 29%.
Against the backdrop of the stable quarterly result, Holcim is sticking to its targets for the 2025 financial year. It aims to achieve sales growth in the mid-single-digit range in local currency and a disproportionately high increase in recurring EBIT. The spin-off of Holcim’s North American business (Amrize) is proceeding according to plan. On March 25, Amrize held its first investor day in New York, explains Holcim. The spin-off is to be listed on the NYSE and the SIX Swiss Exchange in June.