Growth in industrial activities in 2023
➤ Concrete Industry up 4.0%
➤ Industrial Joinery up 33.9%
Refocus on high value-added activities
HERIGE posted turnover of €197.6 million in the fourth quarter of 2023, down 4.2% (down 9.8% like-for-like) on the same period in 2022. This is in line with trends observed since the beginning of the year, marked by a downturn in the new construction market and a less significant price effect over the quarter. Besides, business was strongly impacted by adverse weather conditions (storm Ciaran), leading to temporary production stoppages in Industrial Joinery and the closure of certain Building Materials Trading points of sale.
- Industrial Joinery sales were up 12.3% (down 7.6% like-for-like), benefiting from the acquisition strategy implemented in 2022.
- Concrete Industry proved resilient, with sales down 3.3% (down 1.5% like-for-like). Business remains buoyant thanks to ready-mix concrete, notably the reduced-carbon footprint Vitaliss® concrete range.
- Building Materials Trading continued its slowdown over the period, with business down 13.1%, mainly impacted by unfavorable weather conditions in November.
Building on its external growth and innovation strategy, HERIGE maintained the pace of development in its industrial businesses, with turnover of €835.6 million, up 5.4% (down 3.2% like-for-like) in 2023.
Lastly, HERIGE is continuing exclusive negotiations with SAMSE (announced early December 2023) with a view to selling the Group’s Building Materials Trading division (VM Matériaux, LNTP, Cominex). Based on its continuing operations, the Group posted turnover of €460.8 million in 2023, up 19.7% (up 2.3% like-for-like).
Outlook and developments
Against the backdrop of a marked slowdown in the new construction market and an uncertain macroeconomic environment, HERIGE nevertheless intends to continue implementing its strategic priorities, which are supported by a favorable regulatory context: two-fold increase in the MaPrimeRénov’ renovation program and extension of the Prêt à Taux Zéro interest-free loan until 2027, with relaxed eligibility conditions.
HERIGE can also rely on the fundamentals of its proven business model and rigorous management of its financial equilibrium.
NEXT PUBLICATION: FY 2023 results on April 2, 2024 (after the close of trading)
All our financial communications are available on our website: www.groupe-herige.fr/en
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