(AFP / LUDOVIC MARIN)
The construction materials group Saint Gobain achieved a turnover of 11.35 billion euros in the 1st quarter of 2024, a drop of 8.5% year-on-year linked to the decline in new construction in Europe and a perimeter effect on the group structure.
Saint-Gobain, which continues to anticipate “a decline in some of its markets” for 2024, nevertheless maintained its forecast of achieving a “double-digit operating margin” for the year 2024, and this “for the fourth consecutive year,” the group said in a press release.
The group is now approaching “a low point” in Europe, underlined to AFP the group’s general director Benoit Bazin, who notes a “sequential improvement” in volumes on the Old Continent on comparable working days compared to the last quarter of 2023.
From January to March, new construction activity was still very difficult in Germany, Sweden and France in particular, but it only represents 12% of the group’s total turnover, according to Mr. Bazin who is banking on the increase. in volume of the mortgage market in the United Kingdom and loans in France to envisage a gradual recovery in the sector.
In the first quarter, Northern Europe was down 11%, Southern Europe, the Middle East and Africa (including France) fell 10.1%, and Latin America by 10.8%. But North America grew 5.9% and Asia-Pacific grew 4.5%.
The activity of the first three months of the year was marked both by geographical advances – with major acquisitions in Australia and Canada – and strategic ones, with the rise of construction chemicals (six acquisitions announced or finalized in this area since January 1), underlines the group’s press release.
The 8.5% decline in sales for the first quarter is also explained by the fact that the figures are compared with a first quarter of 2023 which included, for part of the time, distribution, glazing and insulation activities. foam in the United Kingdom which were subsequently sold, as well as certain activities in North America and Asia-Pacific which were removed from the scope.