Sigmaroc nets £214m revenue as chief hails ‘transformational’ CRH acquisitions
Sigmaroc booked £214m in revenue in the last quarter as its chief hailed a “transformational” €1bn (£853m) deal to acquire a string of European lime businesses.
The AIM-listed building materials group announced the deal with Dublin-based CRH in November, which will see it take over the firm’s operations in Germany, Czech Republic and Ireland.
As part of the deal, CRH also granted Sigmaroc the option to acquire further businesses in Poland and the UK, for £217m. The firm completed the UK acquisition in March.
Mark Vermoken, chief executive officer, said the integration of the acquisitions was “continuing well”.
“We are now focussed on integrating all the acquired businesses, delivering on synergies and further strategic initiatives, and progressing to take control of the Polish assets that are the final part of this transformational deal,” Vermoken added.
In a trading update, Sigmaroc said it had performed in line with management expectations in the first quarter. Volumes were one per cent ahead of budget, contributing to revenue of £214m.
Underlying earnings before interest, taxation, depreciation and amortization (EBITDA) performed in line with management’s expectations, with “continued margin improvement”, the group said.
Sigmaroc highlighted some “softness in demand” but left its outlook for 2024 unchanged, noting the anticipated benefits of November’s acquisitions.
Vermoken said: “I reported at the time of our final results that the first two months of the year had started well, and I am pleased to say that this trend has continued in March with trading remaining in line with our expectations.”
Shares are up over 17 per cent in the year to date. The group will hold its AGM at 12:30pm today in Central London.