These are some of the highligfhts in the company’s 2012 consolidated financial statements.
Group revenue improved by 9% to €14 billion; operating income before depreciation (OIBD) increased by 7% to €2.48 billion; free cash flow significantly improved; profit for the financial year rose by 2% to €545 million despite considerable one-off charges and net debt lowered to €7 billion.
In its outlook the company says that Asia, Africa, North America, Russia should continue the positive development, but Europe is weak with the exception of Germany and Scandinavia.
There will continue to be focus on margin improvement with the price initiatives PERFORM for cement and CLIMB Commercial for aggregates and the FOX 2013 three-year target has increased to €1,010 million (originally €600 million).
“In 2012, we took the next consistent step towards reaching our strategic goals,” says Dr Bernd Scheifele, chairman of the managing board of HeidelbergCement.
“We were able to further improve operating income, reverse the negative margin trend, and, in particular, have considerably reduced our net debt. A major contributing factor was the significant increase in free cash flow. Once again, the HeidelbergCement team has demonstrated cost effectiveness, speed, and strength of implementation.”
Cement sales volumes rose slightly by 1.4% year-on-year because the positive development in sales volumes in the North America, Asia-Pacific, and Africa-Mediterranean Basin Group areas more than offset the weak demand in Europe. The sales of aggregates and asphalt fell due to decreasing infrastructure investments in the USA, the United Kingdom and several Eastern European countries.
