CRH PLC (LSE:CRH, NYSE:CRH) rose by more than 4% on Friday after unveiling a new dividend on the back of improved first-quarter results.
Revenue increased 2% to US$6.5 billion, the building materials firm reported, while adjusted pre-tax earnings climbed 15% to US$445 million.
CRH said the results reflected positive pricing momentum and favourable weather in the typically weak period, while also announcing a US$0.35 quarterly dividend.
“The fact that building materials cost more than they did and those costs are here to stay might have represented a cause for concern for CRH investors,” eToro analyst Adam Vettese commented.
“But, that simply doesn't seem to be the case with revenues creeping up in what is ordinarily a slower quarter for the firm.”
An additional US$300 million in share buybacks unveiled by CRH likely helped to sweeten investors’ moods further, Vettesse added, as elections on both sides of the Atlantic threaten to dampen sentiment.
“The outlook for infrastructure spending will of course play a part for the firm,” he said, with CRH holding listings in both New York and London.
Full-year guidance for net income between US$3.55 billion to US$3.80 billion, alongside adjusted pre-tax earnings of US$6.55 billion to US$6.85 billion, was held.
Shares climbed 4.1% to 6,710p.