Shares in Irish building materials company CRH PLC (LON:CRG) gained after reporting a 16% rise in 2017 pre-tax profit, thanks to a strong performance in Europe and the US.
The group said pre-tax profit for the year ended December 31 increased to €2.01bn from €1.74bn a year earlier and revenue grew 1.7% to €27.56bn.
Pre-tax profit from continuing operations, discounting the effect of CRH’s sale of its Americas distribution segment in August, rose to €1.87bn from €1,62bn a year earlier.
CRH said results were boosted by an increase in underlying demand in the Americas and continued positive momentum in Europe, albeit tough competition in Asia.
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Sales for the year came to €27.6bn, up 2% on a like-for-like basis.
The Americas materials division achieved 3% organic sales growth in a year that saw hurricanes and record levels of rainfall.
In Europe, organic sales rose 2% due to continued recovery in key markets.
CRH recommended a final dividend of 48.8 cents per share, up from 46.2 cents a year ago. This brings the total dividend for the year to 68 cents, compared to 65 cents in 2016.
The company said it expects 2018 will be “a year of further progress”, supported by anticipated growth in US construction and economic recovery in Europe.
"In Asia, with expectations for continued economic growth in the Philippines, we anticipate some stabilisation of the cement market in 2018, however results from our business will remain challenged," CRH said.
Shares rose 2.8% to 2,470p in morning trade.