Holcim (HOLN) Q1 2025 TU earnings summary

Executive summary

• Net sales for Q1 2025 were CHF 5,544 million, stable year-over-year in local currency, with recurring EBIT up 1.7% despite adverse weather in North America.

• Five value-accretive acquisitions were completed, strengthening aggregates, ready-mix, and specialty solutions across regions.

• The Amrize/Amris spin-off is on track for June 2025, with all major milestones progressing and a shareholder vote scheduled for May.

• Premium eco-brands (EcoPact, EcoPlanet, ECOCycle) saw significant growth, with EcoPact and EcoPlanet reaching 32% and 29% of their categories, respectively.

• Recognized as a global climate leader by CDP, with new sustainable sites under construction in the UK and US.

Financial highlights

• Recurring EBIT for Q1 2025 was CHF 523 million, up 1.7% in local currency; recurring EBIT margin expanded to 19.1% on a rolling 12-month basis.

• Net sales remained stable at CHF 5,544 million, with organic growth offset by FX and divestments.

• Strong recurring EBIT growth in Latin America (margin 35%), Europe, and Asia, Middle East & Africa (margin 21.7%).

• Price over cost increased for the 12th consecutive quarter, with Q1 delivering CHF 95 million in positive spread.

• Free cash flow guidance for 2025 is above CHF 3.5 billion.

Outlook and guidance

• Full-year 2025 guidance confirmed: mid-single-digit net sales growth in local currency, over-proportional recurring EBIT growth, and further margin expansion.

• Continued double-digit growth in recycled construction demolition materials anticipated.

• Positive outlook across all regions, with infrastructure and sustainable solutions driving growth.

• No change to U.S. guidance despite early-year weather impacts; strong recovery seen in March and April.