Holcim relies on organic growth and strategic acquisitions – Bundlezy

Holcim relies on organic growth and strategic acquisitions

ZUG / LONDON (IT BOLTWISE) – The building materials group Holcim recorded a slight decline in sales, but was able to strengthen its market position through organic growth and strategic acquisitions. The acquisition of the German manufacturer Xella in particular shows Holcim’s commitment to expanding its presence in Europe.

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The Swiss building materials giant Holcim recently published its financial figures, which show a slight decline in sales of 2.5 percent to 4.04 billion francs. Despite these declines, recurring operating profit remains stable at 836 million francs, indicating organic growth of 4.5 percent. This development demonstrates Holcim’s ability to hold its own in a challenging market environment, particularly given the strong Swiss franc, which reduced sales by 274 million francs.

In recent years, Holcim has increasingly focused on organic growth and strategic acquisitions to consolidate its market position. A notable example is the recently announced acquisition of German prefabricated wall panel manufacturer Xella for €1.85 billion. This acquisition is expected to generate additional sales of around 1 billion euros and significantly strengthen Holcim’s Building Solutions division.

The focus on the German market is part of a broader strategy aimed at expanding its presence in Europe while promoting innovative solutions in the field of recycled construction and demolition materials. Holcim plans to achieve growth of over 20 percent in this segment, which underlines the importance of sustainable building material solutions.

For the current year, Holcim is sticking to its goals of achieving sales growth of 3 to 5 percent in local currency. At the same time, recurring operating profit is expected to increase by 6 to 10 percent. These forecasts reflect the company’s confidence in its strategic initiatives aimed at driving both organic and acquisitive growth.


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Holcim relies on organic growth and strategic acquisitions
Holcim relies on organic growth and strategic acquisitions (Photo: DALL-E, IT BOLTWISE)

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