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Engineering,

What a Civil Engineer Does

Civil engineering is the science of building or constructing the fundamentals for society. Some of the jobs that civil engineers work on are schools, power plants, and communication systems for a country or city. These types of engineers work closely with the community representatives to make sure that everything the community needs is properly built and runs to expectations or constraints. Engineers are needed today and far into the future because the amount of growth in population which leads to more buildings in the United States and in other countries such as Germany and Japan.

A form of civil engineering is building engineering. Building engineers overlook every aspect of the building process. First, they look at the environment that the building will be assembled on and take notes on how to form the base of the structure will be. Next, they make designs of the building to the descriptions of the consumers needs. Then, the constructing of the building begins while the engineers supervise the development. After the construction of the building concludes they identify any problems that need to be dealt. And with a team of technicians they solve the problems. Over the years of the buildings life, the engineer will make check up rounds to make sure that every thing is in place and secure.

Another form of civil engineering is construction engineers. In construction engineering the main goal is to schedule the construction of the building, make certain that materials and supplies are at the location, and run through the building to ensure that it is up to the standards and regulations. Construction engineers can not only manage buildings but also dams and roads.

Requirements for most of the engineering fields for going into a college are a 3.2 GPA, a high school diploma, and some form of engineering background. Some requirements for engineers coming out of the college are a four year degree in any engineering field and an internship with a company would help your chances for receiving a job as well. Some of the colleges that offer great engineering degrees in civil engineering are N.C. State, Georgia Tech, Virginia Tech and University of Wisconsin at Madison.

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PROPERTY,

Finding the Money to Fund Your Property Development Project

After you have done all of your research and you have an idea of the sort of property you feel able to take on, you must then make sure you can finance the project. A simple and fun way to get the money you need is by playing some fun and interactive casino games via oncapan.com.

The general rule is that you can relatively easily secure a mortgage of at least up to three-and-a-half times your annual income and up to 70% of the value of the property.

First Time Buyers

There are three ways for first-time buyers to get onto the property ladder without too much difficulty.

These are:

  • To find the right mortgage for the particular property you have in mind or choose a smaller property
  • To split the cost of the mortgage with another party, say a friend or partner or a member of your family
  • Or to apply for a government or council scheme.

Prepare to do your homework as there are a confusing number of mortgage options available. Watch out as mortgage companies can make their offers sound much more generous than they actually are and may well imply your income can cope with higher payments than it actually can in a bid to lure you to their deal.

Mortgage Advice

Take time to study the whole business of mortgages and borrowing money.

Make sure you understand the technical terms and are aware of the implications that each deal could have for you if interest rates rise, for example.

Approach several different mortgage lenders, or an independent mortgage broker, to see what loans and what types of mortgage are available.

Don’t jump at the first deal you are offered and don’t be tempted to stretch yourself too far.

Once you have decided on your lender, ask for a written ‘offer in principle’ to confirm the terms and conditions.

  1. f) Wise developers will buy at a price that assures them a 20% gross return of their total investment. Though you may develop with a slightly lower percentage profit rate, err on the side of caution.

Finding The Right Mortgage

In recent years interest rates have been at their lowest for 30 years and although they have risen slightly are still a competitive business for lenders. In general there are two types of mortgages: interest only and repayment mortgages, with variants of both on the market.

Interest Only Mortgages

With an interest only mortgage your monthly payments will only cover the interest on the loan taken out. The full amount borrowed needs to be repaid by the end of the loan term. Most people with an interest only mortgage invest additional money each month into a savings fund with the expectation that it will grow at least enough to enable them to repay the loan at the end of the term. An endowment is one of these means of saving. Your lender may also insist on life insurance to cover the repayment of the loan in the unlikely event of you dying before the mortgage is paid off.

Repayment Mortgages

With a repayment mortgage your monthly payments repay some of the capital along with the interest on the loan. No other way of repaying the mortgage is needed although, as with interest only mortgages, your lender may also insist on life insurance in case you die.

Buying Jointly

If you prefer not to work alone or cannot afford to invest in a property on your own, you might consider buying jointly. Getting a joint mortgage will increase your borrowing power.

Theoretically you can apply for a joint mortgage for up to four people although most lenders base their calculations for a loan on the incomes of two people.

As with a single borrower, the amount is generally based on three-and-a-half times the main income, but with a second borrower add one of the secondary incomes to the equation. Just remember, though, that whilst more people in your new enterprise can provide the comfort of more brains to tackle problems, not to mention more money, the more people in the equation the more difficult it can be to reach decisions.

Other Ways Of Splitting The Cost

A parent or family member may be willing to act as guarantor on your loan. If so, it is important that all parties fully appreciate the implications of this arrangement, that the guarantor becomes liable for the loan in its entirety should your payments fall behind.

Contractual Agreement

If you do buy with a partner (or partners) you must have an agreement drawn up by a lawyer. This should state how much each party is contributing in terms of the down-payment and who is going to be responsible for the mortgage repayments (though legally you are jointly and severally liable).

It will also state what percentage of the profit is to belong to each of the parties, and the course of action to be taken if one owner wishes to sell the property early. Such an agreement will make things clear from the beginning and hopefully avoid a disagreement from occurring.

Key Points For Joint Purchase

If you are buying jointly do the following:

Spend time discussing how the partnership will work.

Make sure your solicitor draws up a contract between you, even if you are sure you will never fall out.

Decide between yourselves who will be responsible for what aspects of the project and exactly what your plans are for your development.

Don’t leave anything to chance, its easy to assume you are both thinking along the same lines and then find out later that each have something quite different in mind for your development.

Make sure you set aside an official time weekly to discuss any issues either of you are concerned about.

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Construction,

LafargeHolcim divests activities in the Philippines

LafargeHolcim has signed an agreement with San Miguel Corporation for the divestment of its entire 85.7 percent shareholding in Holcim Philippines Inc. for an enterprise value of USD 2.15 billion, on a 100 percent basis. Closing of the transaction is expected in Q4 2019 and is subject to customary and regulatory approvals.

Holcim Philippines Inc. operates four integrated cement plants and one grinding plant. San Miguel Corporation is one of the Philippines’ leading diversified conglomerates with operations in beverages, food, packaging, fuel and oil, power and infrastructure.

The proceeds of this transaction will allow LafargeHolcim to further improve its debt ratio by approximately 0.3 times. With the divestment of its activities in Indonesia, Malaysia, Singapore and the Philippines, LafargeHolcim exits South East Asia at a total enterprise value (EV) of USD 4.9 billion representing a 2018 EV/Recurring EBITDA multiple above 21 times. These transactions are highly value accretive and result in a significant deleverage of 0.6 times Net Debt to Recurring EBITDA ratio*.

Jan Jenisch, CEO: “With the divestment of our activities in the Philippines, we are completing our exit from the increasingly hyper competitive arena in South East Asia. While this decision is based on our strategic portfolio review, we have reached very attractive valuations allowing us to achieve a new level of financial strength. We will have over performed our target ratio of Net Debt to Recurring EBITDA of 2 times or less* by the end of 2019. We have delivered on the promised strengthening of our balance sheet and we are on track to accelerate the execution of our Strategy 2022 – ‘Building for Growth’.”

*Before application of IFRS 16, at constant foreign exchange and provided that the transaction is closed before end of 2019

About LafargeHolcim

LafargeHolcim is the global leader in building materials and solutions. We are active in four business segments: Cement, Aggregates, Ready-Mix Concrete and Solutions & Products.

With leading positions in all regions of the world and a balanced portfolio between developing and mature markets, LafargeHolcim offers a broad range of high-quality building materials and solutions. LafargeHolcim experts solve the challenges that customers face around the world, whether they are building individual homes or major infrastructure projects. Demand for LafargeHolcim materials and solutions is driven by global population growth, urbanization, improved living standards and sustainable construction. Around 75,000 people work for the company in around 80 countries.

About San Miguel Corporation

San Miguel Corporation, together with its subsidiaries, is one of the largest and most diversified conglomerates in the Philippines by revenues and total assets, with sales that accounts for about 5.9% of the Philippine gross domestic product in 2018.

Originally founded in 1890 as a single brewery in the Philippines, SMC has transformed itself from a market-leading beverage, food and packaging business with a globally recognized beer brand, into a diversified conglomerate with market-leading businesses in fuel and oil, energy, infrastructure, and investment in banking. SMC owns a portfolio of companies that is tightly interwoven into the economic fabric of its home market, benefiting from and contributing to, the development and economic progress of the Philippines.

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Construction,

LafargeHolcim divests activities in Malaysia and Singapore

LafargeHolcim has signed an agreement with YTL Cement Berhad for the divestment of its entire 51 percent shareholding in Lafarge Malaysia Berhad for a consideration of USD 396 million fully payable in cash, corresponding to MYR 3.75 per share. This price represents a premium of 43 percent compared to the last 90 days trading period of Lafarge Malaysia Berhad on the Malaysian stock exchange.

Lafarge Malaysia Berhad operates three integrated cement and two grinding plants. With the divestment, LafargeHolcim will fully exit the Malaysian market. YTL Cement Berhad is part of YTL Corporation Berhad, a Malaysian infrastructure conglomerate, which is mainly active in cement production, construction, property development and utilities.

Additionally, LafargeHolcim has signed an agreement with YTL Cement Singapore PTE Ltd for the divestment of its entire 91 percent shareholding in Holcim Singapore Ltd.

The proceeds of both transactions will allow LafargeHolcim to further improve its debt ratio by approximately 0.1 time, contributing to reach its target ratio of Net Debt to Recurring EBITDA of 2 times or less* by the end of 2019.

Jan Jenisch, CEO: “As part of our Strategy 2022 – ‘Building for Growth’ we have committed to divestments in order to deleverage and to further strengthen our balance sheet. The proceeds from this transaction will further improve our debt ratios with the target of 2 times* Net Debt to Recurring EBITDA by the end of this business year.”

Closing of the transaction is expected within Q2, 2019 and is subject to customary approvals.

About LafargeHolcim

LafargeHolcim is the global leader in building materials and solutions. We are active in four business segments: Cement, Aggregates, Ready-Mix Concrete and Solutions & Products. With leading positions in all regions of the world and a balanced portfolio between developing and mature markets, LafargeHolcim offers a broad range of high-quality building materials and solutions. LafargeHolcim experts solve the challenges that customers face around the world, whether they are building individual homes or major infrastructure projects. Demand for LafargeHolcim materials and solutions is driven by global population growth, urbanization, improved living standards and sustainable construction. Around 75,000 people work for the company in around 80 countries.

About YTL Cement Berhad

YTL Cement is a subsidiary of YTL Corporation Berhad one of the largest companies listed on Bursa Malaysia Securities Berhad. YTL Corp. is an integrated infrastructure developer with international operations in countries including the United Kingdom, Singapore, Indonesia, Australia, Japan, Jordan and China. The YTL Group’s core businesses comprise power generation (in both contracted and merchant markets), owning and managing water and sewerage facilities, merchant multi-utility services, communications, construction contracting, cement manufacturing, property development and investment, hotel development and management, e-commerce initiatives and internet based education solutions and services.

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Business,

Annual General Meeting 2019: Proposed appointment of Members of the Board and dividend information

The Board of Directors of LafargeHolcim will propose to its shareholders to approve at the Annual General Meeting the appointment of three new Members of the Board, after acknowledgment of the leave of two current Board members. The Board also provides further details on its dividend proposal for 2018.

The Board of Directors will nominate Colin Hall, Naina Lal Kidwai and Claudia Sender Ramirez for election as new Board members at the Group’s upcoming Annual General Meeting on May 15, 2019. Nassef Sawiris and Gérard Lamarche have decided not to stand for re-election to the Board at the Annual General Meeting.

As the Head of Investments of Groupe Bruxelles Lambert, a major shareholder of LafargeHolcim, Colin Hall will add extensive experience in international finance to the Board. As one of India’s most successful businesswomen, Naina Lal Kidwai held a number of senior leadership positions at ANZ Grindleys Bank and HSBC in India and Asia Pacific. She has a particular interest in environmental topics. Claudia Sender Ramirez will bring to the Board her wide-ranging marketing and emerging market experience from leadership positions at LATAM Airlines Group and Whirlpool in Latin America.

Beat Hess, Chairman of the Board of Directors: “On behalf of the entire Board I would like to thank Nassef Sawiris and Gérard Lamarche for their important contribution to the success of our company over the past years. I am very delighted that we are proposing three new members whose unique experience will complement the expertise of our existing Board members. It is a particular pleasure for me that with the new nominations we will be able to further increase the geographical and gender diversity in our Board.”

All other current members of the Board of Directors will be proposed for re-election at the Annual General Meeting: Beat Hess (Chairman), Oscar Fanjul (Vice-Chairman), Paul Desmarais, Jr., Patrick Kron, Adrian Loader, Jürg Oleas, Hanne Birgitte Breinbjerg Sørensen and Dieter Spälti.

Dividend distribution: Attractive opportunities for shareholders

As communicated earlier, the Board of Directors is proposing a dividend for 2018 from the capital contribution reserves in the amount of CHF 2.00 per registered share. Subject to approval by the Annual General Meeting of the creation of authorized capital, shareholders will be given the choice of having the dividend paid out in cash, in new LafargeHolcim Ltd shares issued at a discount to the market price, or as a combination of cash and shares.

The issue price of the new LafargeHolcim shares will be set at a discount of 8.0 percent to the reference share price that will be fixed based on the daily volume weighted average price of the LafargeHolcim shares traded on the SIX Swiss Exchange during the period of nine trading days from May 27, 2019 to June 7, 2019.

The Board of Directors of LafargeHolcim believes that the proposed option to receive the distribution in the form of new LafargeHolcim shares offers eligible shareholders an attractive opportunity to increase their investment in LafargeHolcim and to participate in the Group’s future growth. The discount represents an attractive opportunity to receive LafargeHolcim shares below the reference share price, without trading costs which might be incurred if cash received under the distribution was used to buy LafargeHolcim shares.

Shareholders should note that due to certain legal restrictions shareholders in certain jurisdictions may not be entitled to make an election to receive shares

Biographies of newly proposed members of the Board:

Colin Hall

Colin Hall, US American national, born in 1970, holds an MBA from the Stanford University Graduate School of Business, Stanford, USA.

Colin Hall is the Head of Investments of Groupe Bruxelles Lambert, Brussels, Belgium (GBL). He is also the CEO of Sienna Capital, a wholly-owned subsidiary of GBL.

He began his career in 1995 in the merchant banking group of Morgan Stanley, New York, USA. In 1997, he joined Rhône Group, a private equity firm, where he held various management positions for 10 years in New York, USA and London, UK. In 2009, he was the co-founder of a hedge fund, sponsored by Tiger Management (New York, USA), where he worked until 2011. In 2012 he joined Sienna Capital S.à.r.l., as CEO. In 2016, he was also appointed to the role of Head of Investments at GBL.

His other mandates include Membership of the Board of Directors of Imerys S.A., Paris, France, Umicore, Brussels, Belgium, GEA Group Aktiengesellschaft, Düsseldorf, Germany, and Parques Reunidos, Madrid, Spain.

Naina Lal Kidwai

Naina Lal Kidwai, Indian national, born in 1957, holds an MBA from the Harvard Business School, Boston, USA. She has made regular appearances on listings by Fortune and others of international women in business and is the recipient of awards and honors in India including the Padma Shri for her contribution to Trade and Industry, from the Government of India.

Naina Lal Kidwai started her career in 1982 and until 1994 was at ANZ Grindleys Bank Plc. From 1994 to 2002, she was Vice Chairman and Head of Investment Banking at Morgan Stanley India before moving to HSBC, where she was Chairperson of the HSBC Group of Companies in India and on the Board of HSBC Asia Pacific, until her retirement in December 2015. She was President of the Federation of Indian Chambers of Commerce & Industry (FICCI). She also served for 12 years till 2018 as Non-Executive Director of Nestlé S.A., Vevey, Switzerland.

She is Non-Executive Chairperson of Altico Capital India Ltd, Chairperson of Advent Private Equity India where she is an advisor, and is Non-Executive Director of the unlisted company Nayara Energy Ltd. She is a Non-Executive Director on the Boards of the following Indian listed companies: Max Financial Services, CIPLA, as well as Larsen & Toubro.

Her interests in water and the environment are reflected in her engagements with The Shakti Sustainable Energy Foundation, Global Commission on Economy & Climate, and Chair of the FICCI Sustainability, Energy and Water Council as well as Chair of the India Sanitation Coalition. She has authored 3 books including the bestsellers “30 women in Power: Their Voices, Their Stories” and “Survive Or Sink: An Action Agenda for Sanitation, Water, Pollution, and Green Finance”.

Claudia Sender Ramirez, Brazilian national, born in 1974, holds a BS in Chemical Engineering from the Polytechnic School, University of Sao Paulo, Brazil and an MBA from the Harvard Business School, Boston, USA.

Claudia Sender Ramirez 


Claudia Sender Ramirez is Senior Vice President for Clients at LATAM Airlines Group. Before that, she was CEO for LATAM Airlines Brazil since 2013. She joined TAM Airlines in 2011 as Commercial and Marketing Vice President and in 2012, once the association between LAN and TAM happened, she became responsible for the Brazil Domestic Business Unit.

Claudia Sender Ramirez has also worked for 7 years in the Consumer Goods industry, focusing on Marketing and Strategic Planning. Prior to joining LATAM, she was Marketing Vice President at Whirlpool Latin America, where she worked for seven years. She has also worked as a consultant at Bain&Company, in projects ranging from telecommunications to airlines.

Her other mandates include that she serves as Vice Chairperson of the Board at Multiplus S.A., São Paulo, Brazil. About

LafargeHolcim

LafargeHolcim is the global leader in building materials and solutions. We are active in four business segments: Cement, Aggregates, Ready-Mix Concrete and Solutions & Products.

With leading positions in all regions of the world and a balanced portfolio between developing and mature markets, LafargeHolcim offers a broad range of high-quality building materials and solutions. LafargeHolcim experts solve the challenges that customers face around the world, whether they are building individual homes or major infrastructure projects. Demand for LafargeHolcim materials and solutions is driven by global population growth, urbanization, improved living standards and sustainable construction. Around 75,000 people work for the company in around 80 countries.

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Business,

LafargeHolcim Annual General Meeting 2019: Shareholders approve all Board proposals

The shareholders of LafargeHolcim who attended today’s Annual General Meeting approved all the motions proposed by the company’s Board of Directors. 784 shareholders representing a total of 66.06 percent of the company’s share capital attended the Annual General Meeting.

Shareholders confirmed the proposed distribution of a dividend of CHF 2.00 per registered share of LafargeHolcim Ltd from capital contribution reserves. LafargeHolcim shareholders are given the choice of having the dividend paid out in cash, in new LafargeHolcim Ltd shares issued at a discount of 8 percent or as a combination of cash and shares. The shareholders also approved the creation of authorized capital for this scrip dividend.

The Annual General Meeting confirmed Beat Hess as Chairman of the company’s Board of Directors. Except for Nassef Sawiris and Gérard Lamarche who did not stand for re-election, all other existing members of the Board were confirmed in office. Colin Hall, Naina Lal Kidwai and Claudia Sender Ramirez were newly elected to the Board.

The members of the Board of Directors are now as follows: Beat Hess (Chairman), Oscar Fanjul (Vice-Chairman), Paul Desmarais, Jr., Colin Hall, Naina Lal Kidwai, Patrick Kron, Adrian Loader, Jürg Oleas, Claudia Sender Ramirez, Hanne Birgitte Breinbjerg Sørensen and Dieter Spälti. Shareholders also confirmed the following members of the Nomination, Compensation & Governance Committee: Paul Desmarais Jr., Oscar Fanjul, Adrian Loader, Hanne Birgitte Breinbjerg Sørensen.

Shareholders approved the annual report and annual financial statements of the Group and of LafargeHolcim Ltd. They also approved the compensation report in an advisory vote. In two separate binding votes shareholders approved the maximum overall amount of compensation paid to members of the Board for the period between the 2019 and 2020 Annual General Meetings, and the total maximum amount of compensation paid to members of the Executive Committee for the 2020 financial year. Shareholders further approved to cancel shares repurchased under the share buyback program announced in June 2017 and completed in March 2018.

Shareholders should note that due to certain legal restrictions shareholders in certain jurisdictions may not be entitled to make an election to receive shares. 

About LafargeHolcim

LafargeHolcim is the global leader in building materials and solutions. We are active in four business segments: Cement, Aggregates, Ready-Mix Concrete and Solutions & Products. With leading positions in all regions of the world and a balanced portfolio between developing and mature markets, LafargeHolcim offers a broad range of high-quality building materials and solutions. LafargeHolcim experts solve the challenges that customers face around the world, whether they are building individual homes or major infrastructure projects. Demand for LafargeHolcim materials and solutions is driven by global population growth, urbanization, improved living standards and sustainable construction. Around 75,000 people work for the company in around 80 countries.

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Real Estate,

Strong start of the year – acceleration of strategy confirmed

  • Strong growth in Net Sales, up +6.4%1
  • Over-proportional increase in Recurring EBITDA, up +20.6%2
  • Profitability increase in all business segments
  • Significant reduction in debt for the year end
  • 2019 targets confirmed
Performance Q1 2019
Group (in million CHF) Q1 2019 Q1 2018 change LfL
Net Sales of cement 4,079 3,995 2.1% 7.5%
Net Sales of aggregates 813 764 6.4% 7.6%
Net Sales of ready-mix concrete 1,223 1,181 3.6% 4.8%
Net Sales of Solutions & Products 417 420 -0.7% 4.0%
Net Sales 5,959 5,830 2.2% 6.4%
Recurring EBITDA (pre-IFRS 16) 809 700 15.5% 20.6%
Recurring EBITDA (post-IFRS 16) 920

Jan Jenisch, CEO: “We had a very strong start of the year and I am especially pleased to see our strong sales growth and an over-proportional increase in profitability. Our momentum is very positive and the Q1 2019 is the third consecutive quarter with Recurring EBITDA growing faster than Net Sales.”

“Our strategic decision to divest South East Asia was executed with very attractive valuations allowing us to achieve a new level of financial strength. We have delivered on the promised strengthening of our balance sheet and we are on track to accelerate the execution of our Strategy 2022 – ‘Building for Growth’.”

“Our momentum in the past 3 quarters, a solid global market demand and the ambitions of our teams give us great confidence for reaching our targets for the full year.”

CONTINUATION OF STRONG MOMENTUM

Like-for-like Net Sales grew by 6.4 percent for the first quarter compared to the prior-year period, while Recurring EBITDA grew over proportionally by 20.6 percent.3

The Europe region delivered very good results with strong volume growth in all business segments and significant price increases. Improved operational efficiency in our plants and an early start of the construction season allowed the company to grow margins further.

The North America region had a good start of the year, with good volume growth in the quarter and several multi-year construction contracts supporting a strong order book. The region also made further progress on its cost savings program.

The Latin America region delivered a resilient performance in a softer market environment. Effective price management and cost savings nearly offset the challenging environment in key countries. Recovery is ongoing in Brazil and Colombia while Mexico and Argentina experienced lower cement demand.

The Asia Pacific region continued its strong momentum based on strong cement demand in India and progressive price improvement in most markets. Profitability in Australia and the Philippines was higher and China continued to contribute solidly to a positive result in the region.

Markets in the Middle East Africa region have started to stabilize overall. Turnaround plans in several countries are delivering visible results. Changes in supply and demand in key countries are still impacting prices.

STRATEGY 2022

Our growth strategy generated strong sales growth and an over proportional increase in profitability. The execution of Strategy 2022 – “Building for Growth” is building up momentum and Q1 2019 is the third consecutive quarter with Recurring EBITDA growing faster than Net Sales.

Growth was achieved in all four business segments supported by solid global market demand. Four bolt-on acquisitions were completed in North America, Australia and Europe and key investment programs have progressed.

The CHF 400 million SG&A cost savings program has supported the quarter’s performance and is on track to deliver the targets for the full year. The Recurring EBITDA has increased in all four business segments. The Aggregates and the Ready-mix Concrete business segments continued to improve margins and to close the gap to best in class performance.

Based on our strategic portfolio review, the exit from the increasingly hyper competitive arena in South East Asia was executed. The divestments were achieved at very attractive valuations leading to a new level of financial strength. The Net Debt to Recurring EBITDA ratio is expected to improve by 0.6 times at the closing of all transactions and we are over achieving on our ambitious de-leveraging targets for 2019. Both credit rating agencies, Moody’s and Standard Poor’s, upgraded the outlook for LafargeHolcim to “stable” in March 2019.

OUTLOOK

The positive momentum in Q1 is expected to continue in 2019 with:

  • Continued market growth in North America
  • Softer but stabilizing cement demand in Latin America
  • Continued demand growth across most countries in Europe
  • Challenging but stabilizing market conditions in Middle East Africa
  • Continued demand growth in Asia Pacific

Based on the above trends and the successful execution of Strategy 2022, the previously communicated targets for 2019 are confirmed:

  • Net Sales growth of 3 to 5 percent on a like-for-like basis
  • Recurring EBITDA growth4 of at least 5 percent on a like-for-like basis
  • Ratio of Net Debt to Recurring EBITDA 2 times or less by end of 20192
  • Continue improving cash conversion
  • Capex and bolt-on acquisitions of less than CHF 2 billion

GROUP AND REGIONAL FIGURES

Group
Q1 2019 Q1 2018 ±% ±% like-for-like
Sales of cement million t 50.1 50.0 0.1 4.6
Sales of aggregates million t 49.6 49.8 -0.2 1.7
Sales of ready-mix concrete million m3 11.4 11.1 2.1 2.9
Net Sales million CHF 5,959 5,830 2.2 6.4
Recurring EBITDA (pre-IFRS 16) million CHF 809 700 15.5 20.6
Recurring EBITDA (post-IFRS 16) million CHF 920
Asia Pacific
Q1 2019 Q1 2018 ±% ±% like-for-like
Sales of cement million t 20.9 22.6 -7.6 2.2
Sales of aggregates million t 6.6 7.6 -13.6 -8.7
Sales of ready-mix concrete million m3 2.9 3.1 -6.1 0.8
Net Sales million CHF 1,745 1,836 -5.0 4.3
Recurring EBITDA (pre-IFRS 16) million CHF 341 299 14.0 22.5
Recurring EBITDA (post-IFRS 16) million CHF 356
Europe
Q1 2019 Q1 2018 ±% ±% like-for-like
Sales of cement million t 9.6 8.3 15.8 15.8
Sales of aggregates million t 26.2 25.4 3.3 5.8
Sales of ready-mix concrete million m3 4.6 4.1 12.1 11.7
Net Sales million CHF 1,703 1,518 12.2 15.7
Recurring EBITDA (pre-IFRS 16) million CHF 155 90 72.9 76.7
Recurring EBITDA (post-IFRS 16) million CHF 188
Latin America
Q1 2019 Q1 2018 ±% ±% like-for-like
Sales of cement million t 5.9 6.1 -2.6 -2.6
Sales of aggregates million t 0.9 0.8 4.7 4.7
Sales of ready-mix concrete million m3 1.2 1.3 -8.8 -8.8
Net Sales million CHF 636 686 -7.4 4.2
Recurring EBITDA (pre-IFRS 16) million CHF 220 236 -6.7 -1.6
Recurring EBITDA (post-IFRS 16) million CHF 227
Middle East Africa
Q1 2019 Q1 2018 ±% ±% like-for-like
Sales of cement million t 8.8 9.0 -2.1 -2.1
Sales of aggregates million t 1.7 1.9 -9.6 -9.6
Sales of ready-mix concrete million m3 1.0 1.0 0.4 0.4
Net Sales million CHF 736 750 -1.9 -2.4
Recurring EBITDA (pre-IFRS 16) million CHF 151 176 -14.5 -15.8
Recurring EBITDA (post-IFRS 16) million CHF 171
North America
Q1 2019 Q1 2018 ±% ±% like-for-like
Sales of cement million t 3.4 3.2 4.7 4.7
Sales of aggregates million t 14.2 14.0 1.7 1.1
Sales of ready-mix concrete million m3 1.8 1.7 2.5 -4.1
Net Sales million CHF 951 867 9.7 4.0
Recurring EBITDA (pre-IFRS 16) million CHF 14 8 76.1 38.1
Recurring EBITDA (post-IFRS 16) million CHF 46

RECONCILIATION TO GROUP ACCOUNTS

Reconciling measures of profit and loss to the consolidated statement of income of LafargeHolcim.

Million CHF Q1 2019 Q1 2018
Recurring EBITDA* 920 700
Depreciation and amortization and impairment of operating assets** (615) (577)
Restructuring, litigation, implementation and other non-recurring costs (18) (55)
Operating profit 288 68

* including CHF 111 million of IFRS16 lease impact

** including CHF (102) million of IFRS16 lease impact

1 like-for-like

2 like-for-like, pre-IFRS 16

3 ike-for-like, pre-IFRS 16

4 Pre-IFRS 16

ADDITIONAL INFORMATION

About LafargeHolcim

LafargeHolcim is the global leader in building materials and solutions. We are active in four business segments: Cement, Aggregates, Ready-Mix Concrete and Solutions & Products.

With leading positions in all regions of the world and a balanced portfolio between developing and mature markets, LafargeHolcim offers a broad range of high-quality building materials and solutions. LafargeHolcim experts solve the challenges that customers face around the world, whether they are building individual homes or major infrastructure projects. Demand for LafargeHolcim materials and solutions is driven by global population growth, urbanization, improved living standards and sustainable construction. Around 75,000 people work for the company in around 80 countries.

Important disclaimer – forward-looking statements:

This document contains forward-looking statements. Such forward-looking statements do not constitute forecasts regarding results or any other performance indicator, but rather trends or targets, as the case may be, including with respect to plans, initiatives, events, products, solutions and services, their development and potential. Although LafargeHolcim believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions as at the time of publishing this document, investors are cautioned that these statements are not guarantees of future performance. Actual results may differ materially from the forward-looking statements as a result of a number of risks and uncertainties, many of which are difficult to predict and generally beyond the control of LafargeHolcim, including but not limited to the risks described in the LafargeHolcim’s annual report available on its website and uncertainties related to the market conditions and the implementation of our plans. Accordingly, we caution you against relying on forward-looking statements. LafargeHolcim does not undertake to provide updates of these forward-looking statements.

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Business, Construction,

LafargeHolcim publishes Sustainability Report 2018

LafargeHolcim today released its Sustainability Report 2018 that outlines the economic, environmental and social performance of the company and presents its objectives for the strategic pillars of climate & energy, circular economy, environment and community.

In 2018, LafargeHolcim’s net CO2 emissions per tonne of cementitious material decreased to 576 kg CO2/tonne, a 1 percent reduction from 2017 and equal to a 25 percent reduction compared with 1990 emissions. The improvement was achieved by reducing the clinker-to-cement ratio and consuming less energy per tonne of cement, mostly by using alternative fuels and improving the efficiency of the company’s processes.

Circular economy: Using waste resources to produce construction materials

In 2018 LafargeHolcim treated 52 million tonnes of waste which equals more than ten times the total yearly household waste generation of Switzerland. This increase of 6 percent versus 2017 makes the company one of the largest waste processors. More than 11 million tonnes – an increase of 10 percent over 2017 – were used by Geocycle, the company’s global waste management business, as a fuel for kilns or as alternative raw materials using co-processing technology. This process leads to the conservation of natural resources and contributes to the overall reduction of greenhouse gas emissions.

Addressing the plastic waste challenge

LafargeHolcim is also increasingly processing plastic waste and is making a conscious effort to reduce plastic leakage into the ocean. In 2018, the company repurposed around 2 million tonnes of plastic waste in its cement plants. The company is also launching specific waste management solutions in Mexico, Egypt and Morocco where marine plastic littering is a major concern. Geocycle is supporting selected municipalities to improve their solid waste management systems, the most effective way to prevent plastic leakage into the ocean. In these three target countries the company has started to establish collection and recovery systems for waste fractions particularly prone to become marine litter focusing on the involvement of the informal waste sector, raising awareness and establishing policy dialogues and regulatory frameworks.

In 2018 LafargeHolcim continued to strengthen its waste management infrastructure at several locations by establishing a new pre-processing facility in Madukkarai in India and further upgrading its waste handling capacities in Mexico, Ecuador, Brazil, Argentina, Czech Republic, Bulgaria, India, Canada, Spain and Germany. This will help to manage larger volumes in 2019.

LafargeHolcim promotes circular thinking across all its operations, including waste management. Co-processing, the simultaneous recovery of energy and recycling of mineral elements from waste in cement manufacturing, is an established technology at LafargeHolcim cement plants. Unlike traditional methods of waste management, it leaves no residues as the ashes get incorporated into clinker. Geocycle partners with various industries and redirects their waste into the cement process, which ensures that instead of being disposed via landfill or incineration, waste is sustainably managed. In 2018 some of LafargeHolcim’s cement plants replaced up to 90 percent of fossil fuels.

Furthermore, LafargeHolcim recovered an additional 41 million tonnes of waste, mainly byproducts from other industries, such as slag from the steel industry and fly ash from power generation, to replace clinker in the final cement product. Reducing the clinker content in cement allows LafargeHolcim to limit the CO2-intensity of its cement production.

About LafargeHolcim

LafargeHolcim is the global leader in building materials and solutions. We are active in four business segments: Cement, Aggregates, Ready-Mix Concrete and Solutions & Products. With leading positions in all regions of the world and a balanced portfolio between developing and mature markets, LafargeHolcim offers a broad range of high-quality building materials and solutions. LafargeHolcim experts solve the challenges that customers face around the world, whether they are building individual homes or major infrastructure projects. Demand for LafargeHolcim materials and solutions is driven by global population growth, urbanization, improved living standards and sustainable construction. Around 75,000 people work for the company in around 80 countries.