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Heidelberg Materials AG
Quarterly Report • May 13, 2025
202_rns_2025-05-13_56a87e6f-7848-4b19-ab0d-f0b9f2445804.pdf
Quarterly Report
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Quarterly Statement January to March 2025
Revenue +5.1%
RCOBD +2.6%
€ 557 m
RCO +1.4%
€ 235 m
Dividend proposal
€ 3.30
dividend per share
Heidelberg Materials Q1 financial figures
Positive start to 2025
Second share buyback programme
Total volume of up to
€ 1.2 bn
in 3tranches
Start of second tranche after Annual General Meeting 2025, completion of the programme by the end of 2026 at the latest
Sustainability update
- Further progress in reducing CO2 emissions
- Brevik CCS: CO2 captured for the first time, liquefied, and temporarily stored
- Commissioning of calcined clay plant in Ghana increases supply of low-carbon products
- Share included in Dow Jones Sustainability Index (DJSI) Europe for the first time
Outlook 2025
Result from current operations (RCO)
€ 3.25 – 3.55 bn
slight reduction
Development of volumes, revenue, and results
Despite the ongoing political and economic uncertainties as well as partly adverse weather conditions in Europe and North America in the first quarter of 2025, deliveries in all business lines recorded a slight increase.
In the first three months of 2025, revenue rose by 5.1% in comparison with the previous year to €4,715 million (previous year: 4,488). Excluding scope and currency effects, the increase amounted to 1.7%. The higher revenue was primarily due to price increases achieved in comparison with the previous year. Changes to the scope of consolidation had a positive impact of €139 million and currency effects of €11 million had a positive impact on revenue.
The result from current operations before depreciation and amortisation (RCOBD) rose by €14 million or 2.6% to €557 million (previous year: 542). Excluding scope and currency effects, the RCOBD was 1.2% below the previous year's level. The RCOBD margin, i. e. the ratio of the result from current operations before depreciation and amortisation to revenue, was 11.8% (previous year: 12.1%). The slight decline in the RCOBD margin is due in particular to higher expenses for freight and third-party services as well as raw materials.
The result from current operations (RCO) increased by €3 million to €235 million (previous year: 232). On a like-for-like basis, it was at the previous year's level.
Transformation Accelerator initiative
The Transformation Accelerator initiative announced in November 2024 has already contributed to company results in the first three months of 2025 with significant savings.
The focus of the initiative lies on the optimisation of the production network, cross-functional efficiency enhancements and technical initiatives on a global scale. Particular emphasis is being placed on optimising the clinker and cement network in Western Europe. Thanks to the transparent approach all over the globe with a clear focus on innovation and efficiency, all Group countries and company levels are making a contribution.
Based on the positive experiences in the first quarter, Heidelberg Materials is confident that it will achieve the targeted annual savings of €500 million by the end of 2026.
Focus on shareholder return
The Managing Board and Supervisory Board will propose to the Annual General Meeting on 15 May 2025 to distribute a dividend of €3.30 per share for the 2024 financial year. This corresponds to an increase of 10% compared to the previous year's dividend.
In order to allow its shareholders to continue participating in the company's success beyond the progressive dividend policy, Heidelberg Materials launched a new share buyback programme in the past year. The programme, with a total volume of up to €1.2 billion, comprises three tranches and has a term running until the end of 2026. Within the scope of the first tranche, a total of around 3.6 million own shares were acquired on the stock exchange between 23 May and 25 November 2024 at a total price (including incidental acquisition costs) of around €350 million. On 24 February 2025, all treasury shares from the first tranche were cancelled with a reduction in the subscribed share capital. Since then, the share capital of Heidelberg Materials AG has totalled €535,292,280 and has been divided into 178,430,760 no-par value shares.
The second tranche of the share buyback programme is scheduled to start in the second quarter of 2025 after the Annual General Meeting.
Portfolio optimisation
Heidelberg Materials signed an agreement in January 2025 on the sale of its majority stake of 91% in Cimenterie de Lukala SA in the Democratic Republic of Congo. The transaction comprises an integrated cement plant in Lukala, near the capital city of Kinshasa. The sale is part of Heidelberg Materials' ongoing portfolio optimisation focusing on its core businesses in promising market positions.
On 1 April 2025, Heidelberg Materials North America completed the acquisition of Giant Cement Holding Inc. and its subsidiaries Giant Cement Company, Dragon Products Company, and Giant Resource Recovery. Giant Cement Holding Inc. is a cement producer on the US East Coast with a strong focus on using waste-derived fuels. The transaction comprises a cement plant in the southeastern United States with an annual capacity of 800,000 tonnes of cement in Harleyville, South Carolina, four associated cement terminals in Georgia and South Carolina, and a deep-water import terminal operated as part of a joint venture in Savannah, Georgia. In the New England region, the purchase includes a cement and slag terminal in Newington, New Hampshire, and a deepwater import terminal in Boston, Massachusetts. In addition, Giant Resource Recovery, an alternative fuel recycling business with four strategically located facilities in the eastern United States, is being added. With this acquisition, Heidelberg Materials is further expanding its presence in the growth markets of the southeastern USA and in the New England region, while at the same time expanding its circular economy offering.
Furthermore, Heidelberg Materials concluded a purchase agreement in April 2025 to acquire the readymixed concrete business of the Australian familyowned company Midway Concrete. The company operates four concrete plants in the Melbourne and Geelong metropolitan areas. This acquisition complements Heidelberg Materials' existing concrete and quarry activities in Melbourne and strengthens the Group's integrated market position in an attractive region. The transaction is expected to be completed by mid-2025.
Sustainability activities
Heidelberg Materials continued to make progress in reducing its CO2 emissions in the first quarter of 2025. The CO₂ reduction targets for 2030 and 2050 of Heidelberg Materials are in line with the Science Based Targets initiative (SBTi) Corporate Net Zero Standard and a 1.5°C target pathway. A key lever for achieving net zero emissions is CO2 capture, utilisation, and storage.
Our lighthouse project in Brevik, Norway, achieved mechanical completion of the CO2 capture plant at our cement plant on schedule by the end of 2024. Since the start of the year, the facility has been in the commissioning phase and is being tested under real operating conditions to optimally prepare it for continuous operation. In May 2025, CO2 was captured for the first time, liquefied, and temporarily stored. At the same time, the CO2 transport vessel "Northern Pioneer" is being prepared for the future transport of CO2 from our cement plant. The official opening of Brevik CCS is planned for June 2025.
In addition, we continue to reduce the proportion of clinker in cement and use supplementary cementi tious materials (SCMs). This also includes calcined clay. In Ghana, we worked with a partner to commis sion a plant for calcined clay, enabling us to offer products with a significant reduction in CO 2 emis sions.
Heidelberg Materials achieved outstanding results in the S&P Global Corporate Sustainability Assessment. The Heidelberg Materials share was therefore in cluded in the Dow Jones Sustainability Index (DJSI) Europe for the first time in January 2025.
Outlook 2025
As published in the Annual and Sustainability Report 2024, the Managing Board expects a result from current operations (RCO) of between €3.25 bil lion and €3.55 billion for the 2025 financial year.
ROIC is expected to be around 10%.
For specific net CO₂ emissions per tonne of cementi tious material, the Managing Board expects a further slight reduction compared to 2024.
Key data
Heidelberg Materials
| €m | January – March | |||
|---|---|---|---|---|
| 2024 | 2025 | Change | Like-for-like 1) | |
| Revenue | 4,488 | 4,715 | 5.1% | 1.7% |
| Result from current operations before depreciation and amortisation (RCOBD) |
542 | 557 | 2.6% | –1.2% |
| RCOBD margin in % | 12.1% | 11.8% | –28 bps 2) | –35 bps |
| Result from current operations (RCO) | 232 | 235 | 1.4% | 0.2% |
| RCO margin in % | 5.2% | 5.0% | –18 bps | –8 bps |
Asia-Pacific
| €m | January – March | ||||
|---|---|---|---|---|---|
| 2024 | 2025 | Change | Like-for-like 1) | ||
| Revenue | 840 | 835 | –0.6% | –1.9% | |
| Result from current operations before depreciation and amortisation (RCOBD) |
130 | 129 | –0.8% | –3.4% | |
| RCOBD margin in % | 15.5% | 15.4% | –3 bps 2) | –24 bps | |
| Result from current operations (RCO) | 70 | 69 | –1.9% | –5.3% | |
| RCO margin in % | 8.3% | 8.2% | –11 bps | –29 bps |
Europe
| €m | January – March | |||
|---|---|---|---|---|
| 2024 | 2025 | Change | Like-for-like 1) | |
| Revenue | 2,038 | 2,157 | 5.9% | 1.1% |
| Result from current operations before depreciation and amortisation (RCOBD) |
213 | 212 | –0.3% | –6.0% |
| RCOBD margin in % | 10.5% | 9.9% | –61 bps 2) | –73 bps |
| Result from current operations (RCO) | 85 | 76 | –10.2% | –12.1% |
| RCO margin in % | 4.2% | 3.5% | –63 bps | –55 bps |
Africa-Mediterranean-Western Asia
| €m | January – March | |||
|---|---|---|---|---|
| 2024 | 2025 | Change | Like-for-like 1) | |
| Revenue | 496 | 586 | 18.1% | 21.0% |
| Result from current operations before depreciation and amortisation (RCOBD) |
99 | 135 | 36.5% | 37.2% |
| RCOBD margin in % | 19.9% | 23.0% | 310 bps 2) | 276 bps |
| Result from current operations (RCO) | 67 | 106 | 59.2% | 60.6% |
| RCO margin in % | 13.4% | 18.1% | 467 bps | 454 bps |
North America
| €m | January – March | ||||
|---|---|---|---|---|---|
| 2024 | 2025 | Change | Like-for-like 1) | ||
| Revenue | 977 | 995 | 1.8% | –3.5% | |
| Result from current operations before depreciation and amortisation (RCOBD) |
109 | 99 | –9.6% | –14.4% | |
| RCOBD margin in % | 11.2% | 9.9% | –126 bps 2) | –127 bps | |
| Result from current operations (RCO) | 25 | 9 | –63.0% | –57.1% | |
| RCO margin in % | 2.6% | 0.9% | –165 bps | –150 bps | |
1) Adjusted for scope and currency effects
2) Change in basis points (bps)
Group Services
| €m | January – March | |||
|---|---|---|---|---|
| 2024 | 2025 | Change | Like-for-like 1) | |
| Revenue | 349 | 371 | 6.4% | 6.4% |
| Result from current operations before depreciation and amortisation (RCOBD) |
11 | 11 | –5.2% | –5.2% |
| RCOBD margin in % | 3.3% | 2.9% | –36 bps 2) | –36 bps |
| Result from current operations (RCO) | 11 | 11 | –5.9% | –5.9% |
| RCO margin in % | 3.2% | 2.9% | –37 bps | –37 bps |
Financial calendar 2025
Annual General Meeting 2025 Half-Year Financial Report 2025 Quarterly Statement January to September 2025 15 May 31 Jul 6 Nov 27 – 28 May Capital Markets Day 2025 Phone: Fax:
Contact
Imprint
Group Communication + 49 6221 481-13227 + 49 6221 481-13217 [email protected] Investor Relations
Phone: + 49 6221 481-41326 + 49 6221 481-13925 + 49 6221 481-41016 + 49 6221 481-39670
Fax + 49 6221 481-13217
Copyright ©2025 Heidelberg Materials AG Berliner Strasse 6 69120 Heidelberg, Germany
Concept and realisation
Group Communication & Investor Relations, Heidelberg Materials
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Translation of the Quarterly Statement January to March 2025. The German version is binding.
This Quarterly Statement January to March 2025 – in German and English – is only available electronically at www.heidelbergmaterials.com.
This Quarterly Statement January to March 2025 was published on 8 May 2025.
Due to rounding, numbers presented in this Quarterly Statement may not add up precisely to the totals provided.