(AOF) – Imerys’ first quarter 2024 turnover amounted to 926 million euros, a decrease of 5.3% year-on-year at constant scope and exchange rates. The group’s sales volumes fell by 3.4%, driven by weakness in its main end markets, particularly residential construction and industry in Europe. “Turnover shows the first signs of recovery, supported by a gradual recovery in volumes, turnover for the first quarter of 2024 is 4% higher than that of the fourth quarter of 2023,” underlines the company.
Net profit, group share, amounted to 69 million euros in the first quarter of 2024, a decline of 32.2%.
On the other hand, adjusted Ebitda increased by 9.2% thanks to the positive contribution of commercial actions, cost-saving measures and lower input costs, as well as the strong performance of joint ventures, in particular of its high purity quartz activity (50% owned).
Imerys achieved an adjusted EBITDA margin above 20% in the first quarter of 2024, well above the 17.2% recorded in the first quarter of 2023.
Effective January 1, 2024, Imerys adopted Adjusted Ebitda as a new alternative performance measure. It is defined as current operating profit before operational depreciation, depreciation and impairment losses, and adjusted for changes in operating provisions and write-downs, and includes the share of net profit of joint ventures.
This change increases the adjusted Ebitda margin target for 2025 to 19-21%, compared to 18-20% with the current definition of Ebitda as used during the November 2022 investor day.
Furthermore, Imerys expects a gradual recovery of markets and a sequential improvement in sales volumes in the coming quarters, as the European economy stabilizes while the United States and Asia resist.
Over the coming months, Imerys hopes to benefit from this positive trend and its innovative products, while optimizing its costs in this still uncertain environment.
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