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Item 7. Management’s Discussion and Analysis

2025-02-26 compared with 2024-02-29 · 352 added, 338 removed, 445 unchanged (61% of the section changed)

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Our Management’s Discussion and Analysis of Financial Condition and Results of Operations (MD&A) is intended to convey management’s perspective regarding operational and financial performance for fiscal years 2024, 2023 and 2022.

Effective January 1, 2023, the Company transitioned from International Financial Reporting Standards as issued by the International Accounting Standards Board (IFRS) to accounting principles generally accepted in the United States (U.S.

The accompanying MD&A, including all periods presented, has been presented and analyzed under U.S.

This MD&A should be read in conjunction with the Consolidated Financial Statements in Part II, Item 8.

This MD&A should be read in conjunction with the Consolidated Financial Statements in Item 8.

“Financial Statements and Supplementary Data” of this Annual Report on Form 10-K.

The following discussion contains trend information and forward-looking statements.

Actual results could differ materially from those discussed in these forward-looking statements, as well as from our historical performance, due to various factors, including, but not limited to, those discussed in “Risk Factors” and “Forward-Looking Statements – Safe Harbor Provisions Under The Private Securities Litigation Reform Act Of 1995” and elsewhere in this Annual Report on Form 10-K.

Actual results could differ materially from those discussed in these forward-looking statements, as well as from our historical performance, due to various factors, including, but not limited to, those discussed in Item 1A “Risk Factors” and “Forward-Looking Statements – Safe Harbor Provisions Under The Private Securities Litigation Reform Act Of 1995” and elsewhere in this Annual Report on Form 10-K.

Our operating results depend upon economic cycles, seasonal and other weather‐related conditions, and trends in government expenditures, among other factors.

Accordingly, financial results for any year presented, or year‐to‐year comparisons of reported results, may not be indicative of future operating results.

CRH is a leading provider of building materials solutions that build, connect and improve our world.

Since formation in 1970, CRH has evolved from being a supplier of base materials to providing end-to-end value-added solutions that solve complex construction challenges for our customers.

CRH works closely with the customer across the entire project lifecycle from planning, design, manufacture, installation and maintenance through to end-of-life recycling, using our engineering and innovation expertise to provide superior materials, products and services.

The Company integrates essential materials (aggregates and cement), value-added building products as well as construction services, to provide our customers with complete end-to-end solutions.

CRH’s capabilities, innovation and technical expertise enable it to be a valuable partner for transportation and critical utility infrastructure projects, complex non-residential construction and outdoor living solutions.

CRH is a leading provider of building materials that build, connect and improve our world.

Since formation in 1970, CRH has evolved from being a supplier of base materials to solving complex construction challenges for our customers.

CRH’s differentiated solutions strategy uniquely integrates materials, products and services across the construction value chain, better serving our customers’ needs and driving repeat business.

This customer-connected approach is making construction simpler, safer and more sustainable.

CRH integrates essential materials (aggregates and cement), value-added building products as well as construction services, to provide our customers with complete solutions.

CRH’s capabilities, innovation and technical expertise enable it to be a valuable partner for transportation and critical infrastructure projects, complex non-residential construction and outdoor living solutions.

Financial performance highlights:

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• Total revenues increased to $35.6 billion, compared with $34.9 billion in 2023 and $32.7 billion in 2022;

• Net income decreased to $3.1 billion compared with $3.9 billion in 2022, primarily due to the income from discontinued operations, net of income tax expense, of $1.2 billion in 2022.

• Net inc ome increased to $3.5 billi on compared with $3.1 billion in 2023, primarily due to higher gross profit along with higher gains on disposal of

long-lived assets and divestitures.

Net income was $3.9 billion in 2022.

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• Net income margin was 9.9% in 2024, 8.8% in 2023 and 11.9% in 2022.

Adjusted EBITDA margin* was 17.7% in 2023, an increase of 120 basis points (bps) compared with an Adjusted EBITDA margin* of 16.5% in 2022.

Adjusted EBITDA margin* was 19.5% in 2024, an increase of 180 basis points (bps) compared with an Adjusted EBITDA margin* o f 17.7% in 2 023.

In 2022, the Adjusted EBITDA margin* was 16.5%;

• Operating cash flow 5 of $5.0 billion was ahead of 2022 operating cash flow of $3.8 billion and ahead of 2021 operating cash flow of $4.0 billion;

• Return on Net Segment Assets were 14.4% in 2023, 13.1% in 2022 and 11.8% in 2021.

• Operating cash flow 5 of $5.0 billion was in line with 2023 operating cash flow of $5.0 billion and ahead of 2022 operating cash flow of $3.8 billion;

• Return on Net Segment Assets was 15.3% in 2024, 14.4% in 2023 and 13.1% in 2022.

Return on Net Assets (RONA)* increased by 20bps to 15.5% in 2024, from 15.3% in 2023.

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• Basic Earnings Per Share (EPS) from continuing operations in 2024 was $5.06 compared with $4.36 in 2023 and $3.58 in 2022.

Basic EPS pre-impairment* from continuing operations was $4.65 in 2023, $3.58 in 2022 and $3.12 in 2021.

pre-impairment* from continuing operations was $5.48 in 2024, $4.65 in 2023 and $3.58 in 2022.

Capital allocation highlights:

• Cash paid to shareholders in 2023 through dividends was $0.9 billion and through share buybacks was $3.0 billion, compared with $0.9 billion and $1.2 billion, respectively, in 2022, and $0.9 billion and $0.9 billion, respectively, in 2021;

• Cash paid to shareholders in 2024 through dividends was $1.7 billion and through share buybacks was $1.3 billion, compared with $0.9 billion and

$3.0 billion, respectively, in 2023, and $0.9 billion and $1.2 billion, respectively, in 2022;

• Full year dividend per share increase of 5% resulting in a dividend per share of $1.40 in 2024, from $1.33 in 2023 and $1.27 in 2022;

• Ongoing share buyback program in 2024 repurchased approximately 15.9 million ordinary shares for a total consideration of $1.3 billion, compared with $3.0 billion in 2023 and $1.2 billion in 2022;

• 22 acquisitions completed for total consideration of $0.7 billion in 2023, compared with $3.3 billion in 2022 and $1.5 billion in 2021.

A further $1.8 billion was invested in development and replacement capital expenditure projects in 2023, compared with $1.5 billion and $1.6 billion in 2022 and 2021, respectively.

• 40 acquisitions completed for a total consideration of $5.0 billion in 2024, compared with $0.7 billion in 2023 and $3.3 billion in 2022.

A further $2.6 billion was inve sted in development and replacement c apital expenditure projects in 2024, compared with $1.8 billion and $1.5 billion in 2023 and 2022, respectively.

Delivering On Our Vision

CRH continues to evolve its business to improve performance, deliver for its stakeholders and respond to the ever-changing needs of its customers.

CRH’s differentiated solutions strategy enables it to realize its vision to develop sustainable solutions that build, connect and improve our world.

Our strategy enables CRH to realize our vision to develop sustainable solutions that build, connect and improve our world.

CRH has a specific set of capabilities in the markets in which it operates along with decades of experience and deep customer relationships.

CRH leverages its scale and best practice across the Company to provide value-added materials, products and services as end-to-end solutions that solve complex problems for its customers.

These solutions allow us to create further value for our customers by combining our products, materials and services which drives commercial and operational benefits.

We can leverage production and logistics efficiencies to drive increased profitability and asset utilization.

CRH leverages its scale and best practices across the Company to provide value-added materials, products and services as construction solutions that solve complex problems for its customers.

These solutions allow us to create further value for our customers by combining our products, materials and services which drive commercial and operational benefits.

This connected portfolio allows us to leverage production and logistics efficiencies to drive increased profitability and asset utilization.

We can reduce waste and advance the sustainability of construction.

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A business optimized for industry-leading performance

Through its differentiated strategy, CRH has shaped its business to capitalize on the attractive fundamentals driving demand in high growth construction markets in North America and Europe.

Differentiated strategy:

Through the successful execution of its strategy, CRH has shaped its business to capitalize on the attractive fundamentals driving demand in higher-growth construction markets in North America, Europe and Australia.

Customer-connected solutions strategy:

Our differentiated strategy is focused on uniquely integrating materials, products and services across the construction value chain.

We leverage our scale, expertise and best practice to provide end-to-end solutions that solve complex problems for our customers.

We leverage our scale, expertise and best practices to provide sustainable solutions that solve complex problems for our customers.

We utilize specific expertise in areas such as materials science, design and engineering to innovate and create new products.

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Performance-focused operator:

CRH has the ability to leverage its high performing assets in the most attractive markets which has resulted in our record 2023 results with a 7% increase in total revenues, 32% increase in operating cash flow, and 22% higher basic EPS from continuing operations, with basic EPS from continuing operations 30% higher on a pre-impairment* 7 basis.

These results are underpinned by a differentiated strategy delivered by an experienced management team with deep industry experience and a proven track record of consistent financial and operational delivery.

CRH has the ability to leverage its connected portfolio of assets in the most attractive markets and this has resulted in our record 2024 results with 12% increase in Adjusted EBITDA*, 180 bps increase in Adjusted EBITDA margin* and 16% higher basic EPS from continuing operations, with basic EPS from continuing operations on a pre-impairment* 7 basis 18% higher.

These results are underpinned by a differentiated strategy delivered by an experienced management team with deep industry knowledge and a proven track record of consistent financial and operational delivery.

Strong and flexible balance sheet:

At December 31, 2023, total short-term and long-term debt was $11.6 billion, cash and cash equivalents were $6.4 billion and Net Debt* was $5.4 billion.

At D ecember 31, 2024, total short-term and long-term debt was $14.0 billion, cash and cash equivalents and restricted cash were $3.8 billion and Net Debt* was $10.5 b illion.

We believe our strong and flexible balance sheet provides CRH with significant financial capacity for long-term value creation through accretive acquisitions, expansionary capital expenditure and cash returns to shareholders through dividends and share buybacks.

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Our customers have an increasing need for more holistic solutions and CRH maximizes its overall growth potential by focusing on its ability to deliver solutions that meet this growing need.

We are focused on delivering our integrated solutions strategy and to do so we are working to better connect our people, capabilities, assets and customers across businesses, markets, and geographies.

We acquire businesses at attractive valuations and create value by integrating them with our existing operations and realizing synergies in areas including procurement, human resources, technology and sales.

We are focused on delivering our customer-connected solutions strategy and to do so we are working to better connect our people, capabilities, assets and customers across businesses, markets, and geographies.

We acquire businesses at attractive valuations and create value by integrating them with our existing operations and realizing synergies in areas including procurement, operational excellence, human resources, technology and sales.

Development review

In 2023, CRH completed 22 acquisitions for total consideration of $0.7 billion.

On the divestitures front, CRH realized proceeds from divestitures and disposals of long-lived assets (including deferred divestiture consideration received) of $0.1 billion.

The largest acquisition in 2023 was in our Americas Building Solutions segment where the Company completed the acquisition of Hydro International, a leading provider of stormwater products, wastewater treatment products, wastewater services, and data solutions in North America and Europe.

In 2024, CRH completed 40 acquisitions for a total consideration of $5.0 billion.

The largest acquisition in 2024 was in Americas Materials Solutions where CRH acquired an attractive portfolio of cement and readymixed concrete operations and assets in Texas, for a total consideration of $2.1 billion.

In addition, Americas Materials Solutions completed a further 20 acquisitions and Americas Building Solutions completed 10 acquisitions for a total 2024 spend in the Americas of $3.8 billion.

International Solutions completed nine acquisitions for a total 2024 spend of $1.2 billion, including the acquisition of a majority stake in Adbri, a market leader in cement and aggregates in Australia.

CRH completed 10 divestitures and realized proceeds from divestitures and disposal of long-lived assets (including deferred divestiture consideration received) of $1.4 billion, primarily related to the divestiture of the European Lime operations.

In 2023, CRH completed 22 acquisitions for a total consideration of $0.7 billion.

On the divestitures front, CRH realized proceeds from divestitures and disposal of long-lived assets (including deferred divestiture consideration received) of $0.1 billion.

The largest acquisition in 2023 was in Americas Building Solutions where the Company completed the acquisition of Hydro International, a leading provider of stormwater products, wastewater treatment products, wastewater services, and data solutions in North America and Europe.

In addition, Americas Building Solutions completed a further four acquisitions and Americas Materials Solutions completed eight acquisitions in the United States, for a total 2023 spend in the Americas of $0.4 billion.

The Europe Materials Solutions segment completed five acquisitions and Europe Building Solutions completed four acquisitions for a total 2023 spend in Europe of $0.3 billion.

In November 2023, CRH agreed to acquire an attractive portfolio of cement and readymixed concrete assets and operations in Texas for a total consideration of $2.1 billion.

The transaction was completed in February 2024.

In 2023, CRH also entered into an agreement to divest its lime operations in Europe for $1.1 billion.

The transaction was structured in three phases.

The first phase of the divestiture, comprising CRH’s lime operations in Germany, Czech Republic and Ireland, completed in January 2024.

In 2022, CRH completed 29 acquisitions for total consideration of $3.3 billion.

On the divestiture front, CRH completed nine divestitures and realized proceeds from divestitures and disposals of long-lived assets (including deferred divestiture consideration received) of $3.9 billion primarily relating to the proceeds from the Building Envelope divestiture.

The largest acquisition in 2022 was in our Americas Building Solutions segment where the Company completed its acquisition of Barrette for $1.9 billion.

In addition, Americas Building Solutions completed a further seven acquisitions in the United States and Americas Materials Solutions completed ten acquisitions in the United States, for a total 2022 spend in the Americas of $3.1 billion.

The Europe Building Solutions segment completed two acquisitions and Europe Materials Solutions completed nine acquisitions for a total 2022 spend in Europe of $0.2 billion.

International Solutions completed nine acquisitions for a total 2023 spend of $0.3 billion.

In 2022, CRH completed 29 acquisitions for a total consideration of $3.3 billion.

The largest acquisition in 2022 was in Americas Building Solutions where the Company completed its acquisition of Barrette Outdoor Living, Inc.

(Barrette) for $1.9 billion.

In addition, Americas Building Solutions completed a further seven acquisitions and Americas Materials Solutions completed 10 acquisitions for a total 2022 spend in the Americas of $3.1 billion.

International Solutions completed 11 acquisitions for a total 2022 spend of $0.2 billion.

The largest divestiture in 2022 was the Building Envelope business for cash proceeds of $3.5 billion (enterprise value of $3.8 billion including lease liabilities transferred of $0.3 billion).

A further eight divestitures were completed across CRH, realizing total proceeds of $0.2 billion and $0.2 billion was realized from the disposal of long-lived assets and deferred divestiture proceeds.

In 2021, CRH completed 19 acquisitions for total consideration of $1.5 billion.

On the divestiture front, CRH completed 11 divestitures and realized proceeds from divestitures and disposals of long-lived assets (including deferred divestiture consideration received) of $0.5 billion.

The largest acquisition in 2021 was in our Americas Materials Solutions segment where the Company completed its acquisition of Angel Brother Enterprises, a vertically-integrated asphalt paving business in Texas.

In addition, Americas Materials Solutions completed a further seven acquisitions and Americas Building Solutions completed six acquisitions in the United States, for a total 2021 spend in the Americas of $1.4 billion.

The Europe Materials Solutions segment completed four acquisitions and Europe Building Solutions completed one acquisition for a total 2021 spend in Europe of $0.1 billion.

The largest divestiture in 2021 was the divestiture of the Brazilian operations by the Americas Materials Solutions segment for consideration of $0.2 billion.

A further ten divestitures were completed across CRH, realizing total proceeds of $0.3 billion.

Overall, we expect a favorable market backdrop and continued positive pricing momentum in 2024 driven by significant infrastructure investment and re-industrialization activity across our key markets in North America and Europe.

Our operations in North America are expected to benefit from increased infrastructure activity underpinned by strong federal and state funding, while investments in critical manufacturing and clean energy initiatives are expected to support key non-residential segments.

New-build residential activity is expected to remain subdued in 2024 due to ongoing affordability constraints arising from the current interest rate environment, while residential repair and remodel activity is expected to remain resilient.

In Europe, we expect to benefit from positive pricing, disciplined cost control and good underlying demand in infrastructure and key non-residential markets which are supported by government and EU funding initiatives, while residential construction activity is expected to remain subdued.

We expect positive underlying demand across our key end-use markets in 2025, underpinned by significant public investment in critical infrastructure, combined with increased re-industrialization activity in key non-residential segments.

This backdrop is expected to support overall demand levels and further positive pricing across our business.

Our North American businesses expect continued positive momentum in infrastructure activity, supported by robust state and federal funding.

Non-residential activity continues to benefit from secular tailwinds in key growth areas.

Although the residential sector continues to be supported by strong long-term demand fundamentals, the new-build segment is expected to remain subdued while repair and remodel activity remains resilient.

In our International operations, we expect infrastructure activity to be underpinned by government and EU funding.

Non-residential construction continues to be aided by onshoring of supply chains and industrial manufacturing activity.

Residential markets are expected to stabilize with structural demand fundamentals supporting a gradual recovery.

Assuming normal seasonal weather patterns and absent any major dislocations in the political or macroeconomic environment, CRH’s leading positions of scale in attractive higher-growth markets, together with our strong and flexible balance sheet, are expected to underpin another year of growth and value creation in 2025.

7 * Represents a non-GAAP measure.

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CRH Form 10-K 32

Assuming normal seasonal weather patterns and no major dislocations in the macroeconomic environment, CRH remains well positioned for another year of growth in 2024 as we continue to execute our uniquely integrated and value-added solutions strategy, supported by the strength and flexibility of our balance sheet and disciplined approach to capital allocation.

Market Backdrop

CRH’s results can be impacted by trends and factors in the wider construction markets it is exposed to.

The principal construction markets, for all segments, are infrastructure, including highways, streets, roads, bridges, and critical utility infrastructure;

non-residential, including construction and maintenance of manufacturing, datacenter and distribution facilities;

The principal construction markets, for all segments, are infrastructure, including highways, streets, roads and bridges;

non-residential, including construction and maintenance of critical infrastructure, manufacturing, commercial, warehouse and data center facilities;

and residential, including new-build construction, and repair and remodel activity, of single and multi-family housing.

Infrastructure

In 2023, approximately 35% of revenues were derived from infrastructure.

See ‘Business Segment Information’ in Item 1.

“Business” for details by segment.

The $1.2 trillion IIJA signed into law in November 2021, provides federal highway funding of approximately $350 billion over five years, including $110 billion in new funding for roads, bridges, and other infrastructure projects.

Critical utility infrastructure is also receiving funding from IIJA – water (approximately $48 billion), energy (approximately $79 billion) and technology (approximately $65 billion).

highway contract awards increased in 2023, with a high single-digit increase compared with 2022.

The outlook for 2024 is positive as state budgets reflect the need for increased public infrastructure funding for highways and bridges.

In Europe, the outlook for 2024 remains supportive backed by a resilient critical infrastructure sector, including in the rail, energy, and water sectors, which fluctuates less than residential and non-residential sectors.

In the infrastructure sector the impact of the business cycle is mitigated by long-term projects and a high share of activities financed by the public sector, with multinational EU funds a stabilizing factor.

Infrastructure

In 2024, approximately 35% of revenues were derived from infrastructure.

Our North American businesses expect positive momentum in infrastructure activity, underpinned by robust state and federal funding, and supported by the IIJA which was signed into law in November 2021.

This provides expected federal highway funding of approximately $350 billion over five years, including $110 billion in new funding for roads, bridges, and other infrastructure projects.

Aided by the IIJA, U.S.

highway contract awards remained at elevated levels in 2024, underpinning a positive outlook for 2025 as state budgets reflect the need for increased public infrastructure funding for highways and bridges.

International

After a resilient 2024, the outlook for 2025 in our International markets remains underpinned by government and EU funding for the infrastructure sector, which typically fluctuates less than residential and non-residential sectors.

In this sector the impact of the business cycle is mitigated by long-term projects and a high share of activities financed by the public sector, with multinational EU funds a stabilizing factor in some of our larger markets.

Non-Residential

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In Americas, a key driver of demand in the non-residential sector is the onshoring of critical manufacturing.

Large, multi-year construction projects (EV battery plants, semiconductor chips, liquefied natural gas facilities) are underpinned by federal investment through the Inflation Reduction Act (IRA) which directs nearly $370 billion in federal funding to clean energy and the U.S CHIPS and Science Act, a $280 billion bill with the aim to bolster the United States’ semi-conductor capacity.

According to industry forecasts, a total of $300 billion is planned for investment in these sectors by 2027.

In Europe, the non-residential construction sector outlook remains mixed in 2024.

Construction confidence remains subdued however activity is underpinned by increased efforts to onshore manufacturing activity due to the European Chips Act.

Large, multi-year construction projects (data centers, semiconductor chips, liquefied natural gas facilities) are underpinned by initiatives such as the U.S.

CHIPS and Science Act, a $280 billion bill with the aim to bolster the United States’ semiconductor capacity.

In addition, critical infrastructure is expecting to receive significant funding from the IIJA – water (approximately $48 billion), energy (approximately $79 billion) and technology (approximately $65 billion).

International

The non-residential sector outlook remains mixed in our International markets in 2025.

Having declined in 2024, construction activity is expected to grow in Eastern Europe, underpinned by improving economic fundamentals.

In the United Kingdom, construction confidence improved steadily through 2024 although sentiment remains subdued in other markets.

Non-residential activity in the Division remains supported by increased efforts to onshore manufacturing activity via government stimulus measures.

In 2024, approximately 35% of revenues were derived from residential construction.

The residential sector’s recent weakness is driven by affordability constraints with inflation challenges, rising home prices and high mortgage rates.

Repair and remodel activity is expected to be less subdued than new-build activity, as a result of aging housing stock.

The European businesses are more heavily exposed to the new-build residential sector, and the residential sector remains subdued with residential building permits declining.

8 * Represents a non-GAAP measure.

See the discussion within 'Non-GAAP Reconciliation and Supplementary Information' on pages 38 to 40.

The residential sector’s recent performance has been influenced by affordability constraints with inflation challenges, rising home prices and high mortgage rates.

While residential construction activity continues to be supported by long-term demand fundamentals, the new-build segment is expected to remain subdued.

As a result of the aging U.S.

housing stock, repair and remodel activity is expected to be less subdued than new-build activity in the near-term.

International

Our International businesses are more heavily exposed to the new-build residential sector, which is expected to gradually recover as a lower interest rate environment unfolds.

CRH Form 10-K 33

Results Of Operations

Revenues are derived from a range of products and services across four segments.

The Materials Solutions segments in Americas and Europe utilize an extensive network of reserve-backed quarry locations to produce and supply a range of materials including aggregates, cement, readymixed concrete and asphalt, as well as providing paving and construction services.

The Americas and Europe Building Solutions segments manufacture, supply and deliver high quality building products and solutions.

Revenues are derived from a range of products and services across three segments.

The Americas Materials Solutions segment utilizes an extensive network of reserve-backed quarry locations to produce and supply a range of materials including aggregates, cement, readymixed concrete and asphalt, as well as providing paving and construction services.

The Americas Building Solutions segment manufactures, supplies and delivers high-quality building products and solutions.

The International Solutions segment integrates building materials, product and services for the construction and renovation of public infrastructure, critical networks, commercial and residential buildings, and outdoor living spaces.

The table below summarizes CRH’s Consolidated Statements of Income for the periods indicated.

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Interest expense (612) (376) (344)

Other nonoperating (expense) income, net (2) (69) 90

Other nonoperating income (expense), net 258 (2) (69)

Income from continuing operations before income tax expense and income from equity method investments 4,714 4,014 3,461

Income tax expense (1,085) (925) (762)

(Loss) income from equity method investments (17) – 55

Loss from equity method investments (108) (17) –

Income from continuing operations 3,521 3,072 2,699

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Net (income) attributable to redeemable noncontrolling interests (28) (28) (27)

Net loss (income) attributable to noncontrolling interests 134 – (34)

Net income attributable to CRH plc 3,178 3,862 2,630

Basic earning per share attributable to CRH plc from continuing operations $4.36 $3.58 $3.12

Basic earning per share attributable to CRH plc from continuing operations - pre-impairment* $4.65 $3.58 $3.12

Net (income) loss attributable to noncontrolling interests (1) 134 –

Net income attributable to CRH 3,492 3,178 3,862

Basic earning per share attributable to CRH from continuing operations $5.06 $4.36 $3.58

Basic earning per share attributable to CRH from continuing operations - pre-impairment* $5.48 $4.65 $3.58

Adjusted EBITDA* 6,930 6,176 5,388

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2024 versus 2023

Total revenues were $34.9 billion in 2023, an increase of $2.2 billion, or 7%, compared with 2022, reflecting good underlying demand across key end-use markets, positive pricing and contributions from acquisitions which offset lower volumes compared with the prior year.

In Americas Materials Solutions, total revenues in Essential Materials and Road Solutions increased by 10% and 7%, respectively.

In Americas Building Solutions, total revenues in Building & Infrastructure Solutions increased by 6% and total revenues in Outdoor Living Solutions increased by 18%.

In Europe Materials Solutions, in Essential Materials, total revenues finished 5% ahead of 2022 while Road Solutions total revenues were 2% ahead.

In Europe Building Solutions, total revenues in Building & Infrastructure Solutions decreased by 3% and total revenues in Outdoor Living Solutions increased by 4%.

Total revenues were $35.6 billion in 2024, an increase of $0.6 billion, or 2%, comp ared with 2023, with resilient underlying demand in key end-use markets, continued commercial progress and contributions from acquisitions partly offset by lower activity levels in certain regions due to adverse weather and divestitures.

For additional discussion on segment revenues, see “Segments” section on pages 37 to 39.

2023 versus 2022

Total revenues were $32.7 billion, an increase of $3.5 billion, or 12%, compared with 2021, reflecting price increases offsetting lower volumes compared with the prior year.

In Americas Materials Solutions, Essential Materials total revenues increased by 9% and Road Solutions total revenues increased by 19%.

In Americas Building Solutions, total revenues in Building & Infrastructure Solutions increased by 63% and total revenues in Outdoor Living Solutions increased by 20%.

In Europe Materials Solutions, in Essential Materials, total revenues finished 1% behind 2021 while Road Solutions total revenues were flat.

In Europe Building Solutions, total revenues in Building & Infrastructure Solutions increased by 5% and total revenues in Outdoor Living Solutions decreased by 4%.

Total revenues were $34.9 billion, an increase of $2.2 billion, or 7%, compared with 2022, reflecting good underlying demand across key end-use markets, positive pricing and contributions from acquisitions which offset lower volumes compared with the prior year.

2024 versus 2023

Gross profit was $12.7 billion in 2024, an increase of $0.7 billion, or 6%, compared with 2023, reflecting total revenues growth of 2%, with total cost of revenues 1% lower.

The gross profit margin of 35.7% increased 150bps from 34.2% in the prior year, driven by commercial progress, ongoing cost control and operational efficiencies.

Total cost of revenues decreased primarily as a result of an 18% decrease in energy costs due to a decline in energy prices, lower activity levels and divestitures.

These were partly offset by an increase in labor costs of 6% driven by wage inflation and increased headcount due to acquisitions.

8 * Represents a non-GAAP measure.

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2023 versus 2022

Gross profit was $12.0 billion in 2023, an increase of $1.2 billion, or 11%, compared with 2022, reflecting total revenues growth of 7%, with total cost of revenues increasing by 5%.

Gross profit was $12.0 billion in 2023, an increase of $1.2 billion, or 11%, compared with 2022.

This reflected total revenues growth of 7%, with total cost of revenues increasing by 5%.

The gross profit margin of 34.2%, increased 110bps from 33.1% in the prior year, due to revenue growth exceeding increases in total cost of revenues.

Total cost of revenues increased primarily as a result of subcontractor costs and repairs and maintenance increasing 11% and 9%, respectively, due to the impact of cost inflation.

Labor expenses increased by 8% due to the impact of acquisitions, wage inflation impacted by continued labor shortages and increased headcount.

Labor costs increased by 8% due to the impact of acquisitions, wage inflation impacted by continued labor shortages and increased headcount.

Energy costs were in line with 2022 and raw materials costs decreased by 1% primarily as a result of lower volumes.

2022 versus 2021

Gross profit was $10.8 billion in 2022, an increase of $1.0 billion, or 10%, compared with 2021.

This reflected total revenues growth of 12%, with total cost of revenues increasing by 13% as a result of higher levels of cost inflation.

The gross profit margin of 33.1%, decreased 50bps from 33.6% in the prior year as total cost of revenues increased in an inflationary environment.

Total cost of revenues increased primarily as a result of raw materials costs increasing by 17%, due to supply chain constraints and cost inflation.

Energy costs increased 39%, resulting from global energy cost inflation, and subcontractor costs increasing 16%, as a result of higher volumes and cost inflation.

Labor expenses included in total costs of revenues also increased by 6% due to wage inflation driven by labor shortages and increased headcount.

Selling, general and administrative expenses

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Selling, general and administrative (SG&A) expenses, which are primarily comprised of haulage costs, labor costs, and other selling and administration expenses, were $7.9 billion in 2024, an increase of $0.4 billion, or 5%, compared with 2023.

The increase in SG&A expenses primarily reflects labor cost increases of 14%, as a result of increased headcount, impacted by acquisitions and wage inflation;

partially offset by lower haulage costs which decreased 4% compared with 2022 as a result of lower volumes and lower fuel costs.

The increase in SG&A expenses was primarily due to labor cost increases of 9%, as a result of increased headcount from acquisitions and wage inflation;

partially offset by divestitures.

2023 versus 2022

SG&A expenses were $7.5 billion in 2023, an increase of $0.4 billion, or 6%, compared with 2022.

The increase in SG&A expenses were primarily due to haulage cost increases of 8%, driven by fuel cost inflation and driver & truck shortages, and a 1% increase in labor expenses as a result of labor cost inflation and increased headcount.

The increase in SG&A expenses primarily reflects labor cost increases of 14%, as a result of increased headcount, impacted by acquisitions and wage inflation;

partially offset by lower haulage costs which decreased 4% compared with 2022 as a result of lower volumes and lower fuel costs.

Gain on disposal of long-lived assets

2024 versus 2023

Gain on disposal of long-lived assets was $66 million in 2023, an increase of $16 million compared with 2022, primarily due to gain on disposal of plant and equipment.

Gain on disposal of long-lived assets was $237 million in 2024, an increase of $171 million compared with 2023.

The increase mainly related to the disposal of certain land assets.

2023 versus 2022

Gain on disposal of long-lived assets was $50 million in 2022, an increase of $12 million compared with 2021, primarily due to disposals of land and buildings.

Gain on disposal of long-lived assets was $66 million in 2023, an increase of $16 million compared with 2022, primarily due to gains on disposal of plant and equipment.

Loss on impairments

2024 versus 2023

Loss on impairments in 2023 was $357 million, compared with $nil in 2022, and was principally in the Europe Materials Solutions segment where an impairment was recognized related to our business in the Philippines which has been impacted by challenging market conditions.

Loss on impairments in 2 024 was $161 million, compared with $357 million in 2023, and principally related to the International Solutions segment where an impairment was recognized related to the Architectural Products reporting unit, driven by challenging market conditions.

2023 versus 2022

Loss on impairments in 2022 and 2021 were $nil.

Loss on impairments in 2023 was $357 million, compared with $nil million in 2022, and was principally in the International Solutions segment where an impairment was recognized related to our business in the Philippines which has been impacted by challenging market conditions.

Interest income

2024 versus 2023

Interest income was $206 million in 2023, an increase of $141 million compared with 2022, as a result of higher interest rates on deposits.

Interest income was $143 million in 2024, a decrease of $63 million compared with 2023, primarily due to lower levels of cash deposits.

2023 versus 2022

Higher interest rates on deposits resulted in interest income of $65 million in 2022 compared with $nil interest income in 2021.

Interest income was $206 million in 2023, an increase of $141 million compared with 2022, as a result of higher interest rates on deposits.

Interest expense

1 unchanged sentence

Interest expense was $612 million in 2024, an increase of $236 million, or 63%, compared with 2023.

The increase was primarily due to higher interest rates on floating rate debt, interest rate swaps and new fixed rate debt issued, partially offset by interest on maturing debt.

The increase was primarily due to higher gross debt balances and increased interest rates.

For additional information on new fixed rate debt issuance, see Note 11 “Debt” in Item 8.

2 unchanged sentences

Interest expense was $376 million in 2023, an increase of $32 million, or 9%, compared with 2022.

The increase was primarily due to increased interest rates payable on borrowings.

CRH Form 10-K 32

Other nonoperating (expense) income, net

The increase was primarily due to higher interest rates on floating rate debt, interest rate swaps and new fixed rate debt issued, partially offset by interest on maturing debt.

Other nonoperating income (expense), net

2024 versus 2023

Other nonoperating (expense) income, net, was an expense of $2 million in 2023, a decrease of $67 million compared with 2022.

Other nonoperating (expense) income, net includes pension and postretirement benefit costs (excluding service costs), gains and losses from divestitures, and other miscellaneous income and expenses.

The decrease was primarily related to a reduction of loss on divestitures to $nil in 2023 which was $99 million in 2022, partly offset by pension-related movements of $27 million.

Other nonoperating income (expense), net, was income of $258 million in 2024, an increase of $260 million compared with 2023.

Other nonoperating income (expense) net, includes pension and postretirement benefit costs (excluding service costs), gains and losses from divestitures, and other miscellaneous income and expenses.

The increase was primarily related to gain s on divestitures.

2023 versus 2022

Other nonoperating (expense) income, net was an expense of $69 million in 2022, compared to income of $90 million in 2021.

This movement was primarily driven by a loss on divestitures of $99 million in 2022 compared to a gain of $78 million in 2021, partly offset by pension-related movements of $21 million.

Other nonoperating income (expense), net, was an expense of $2 million in 2023, a decrease of $67 million compared with 2022.

The decrease was primarily related to a reduction of loss on divestitures to $nil million in 2023 which was $99 million in 2022, partly offset by pension-related movements of $27 million.

CRH Form 10-K 35

Income tax expense

The Company’s tax rate is driven by the tax rates in jurisdictions in which the Company operates and the relative amount of income earned in each jurisdiction.

Our income tax expense for the three-year period from 2021 to 2023 is shown below:

Income tax expense for the three-year period from 2022 to 2024 is shown below:

in $ millions, except effective tax rate 2024 2023 2022

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2024 versus 2023

In 2023, the Company’s income tax expense was $925 million, an increase of $163 million compared with 2022.

The effective tax rate attributable to continuing operations was 23% for 2023 compared with 22% for 2022.

The increase in the effective tax rate compared with the prior year was primarily driven by the impact of impairments not deductible for tax purposes in the year.

In 2024, the Company’s income tax expense was $1.1 billion, an increase of $0.2 billion compared with 2023.

The effective tax rate attributable to continuing operations was 23% for 2024, in line with 23% for 2023.

2023 versus 2022

The Company’s income tax expense was $762 million for 2022, an increase of $112 million compared with 2021.

In 2023, the Company’s income tax expense was $0.9 billion, an increase of $0.2 billion compared with 2022.

The effective tax rate attributable to continuing operations was 23% for 2023 compared with 22% for 2022.

The increase in the effective tax rate compared with prior year was primarily due to the tax impact of divestitures during the period as well as changes in the statutory tax rate in the United Kingdom and the Philippines, and movements on provisions for uncertain tax positions.

(Loss) income from equity method investments

The increase in the effective tax rate compared with the prior year was primarily driven by the impact of impairments not deductible for tax purposes in the year.

Loss from equity method investments

2024 versus 2023

In 2023, a loss of $17 million was recorded in equity method investments, primarily driven by the performance of the Company’s equity method investment in Yatai Building Materials in China, where market conditions remained challenging.

In 2024, a loss of $108 million was recorded in equity method investments, primarily driven by an impairment in the Company’s equity method investment in Yatai Building Materials (YBM) in China, where market conditions remained challenging.

2023 versus 2022

In 2022, income from equity method investments was $nil, a reduction of $55 million compared with prior year.

This was primarily as a result of the performance of Yatai Building Materials in China where activity levels were negatively impacted by Covid-19 restrictions.

In 2023, a loss of $17 million was recorded in equity method investments, primarily driven by the performance of the Company’s equity method investment in YBM in China, where market conditions remained challenging.

Income from continuing operations

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Income from continuing operations in 2024 amounted to $3.5 billion, an increase of $0.4 billion on 2023.

This result was primarily driven by an improved operating performance and higher interest income, partially offset by loss on impairments and a higher income tax expense.

This result was primarily driven by higher gross profit along with higher gains on divestitures and disposal of long-lived assets, which offset higher interest and SG&A expenses.

2023 versus 2022

Income from continuing operations in 2022 amounted to $2.7 billion, an increase of $0.2 billion on prior year.

Income from continuing operations in 2023 amounted to $3.1 billion, an increase of $0.4 billion on 2022.

This result was primarily driven by an improved operating performance and higher interest income, partially offset by loss on impairments and a higher income tax expense.

Income from discontinued operations, net of income tax expense

2024 versus 2023

Income from discontinued operations, net of income tax expense was $nil in 2023, compared with income of $1.2 billion related to the divestiture of the Building Envelope business in 2022.

Income from discontinued operations, net of income tax expense was $nil million in both 2024 and 2023.

2023 versus 2022

Income from discontinued operations, net of income tax expense on the divestiture of the Building Envelope business, which was completed in April 2022, amounted to $1.2 billion.

For 2021, income from discontinued operations, net of income tax expense amounted to $0.2 billion.

Net income attributable to CRH plc and earnings per share

Income from discontinued operations, net of income tax expense was $nil million in 2023, compared with income of $1.2 billion related to the divestiture of the Building Envelope business in 2022.

Net income attributable to CRH and earnings per share

2024 versus 2023

Net income attributable to CRH plc was $3.2 billion in 2023, a decrease of $0.7 billion from 2022.

The decrease in net income attributable to CRH plc was driven by the absence of income from discontinued operations, net of income tax expense, which contributed $1.2 billion in 2022 due to the divestiture of the Building Envelope business, partially offset by higher income from continuing operations, which contributed $0.4 billion in 2023, and an increased net loss attributable to noncontrolling interests of $0.1 billion.

Net income attributable to CRH was $3.5 billion in 2024, an increase of $0.3 billion from 2023.

Basic EPS from continuing operations for 2024 was $5.06, an increase of 16% on 2023.

Basic EPS pre-impairment* from continuing operations for 2024 was $5.48, an increase of 18% on 2023.

2023 versus 2022

Net income attributable to CRH was $3.2 billion in 2023, a decrease of $0.7 billion from 2022.

Basic EPS from continuing operations for 2023 was $4.36, an increase of 22% on 2022.

Basic EPS pre-impairment* from continuing operations for 2023 was $4.65.

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CRH Form 10-K 36

2022 versus 2021

Net income attributable to CRH plc was $3.9 billion in 2022, an increase of $1.2 billion from 2021.

This increase was driven by the divestiture of the Building Envelope business, which accounted for a movement of $1.0 billion between 2022 and 2021, and increased income from continuing operations of $0.2 billion compared with 2021.

Basic EPS from continuing operations was $3.58 per share for 2022, and $3.12 per share for 2021.

Basic EPS pre-impairment* from continuing operations for 2022 was $3.58.

Effective January 1, 2023, CRH restructured into two Divisions, CRH Americas and CRH Europe.

As a result, CRH’s segments increased from three to the following four segments:

Americas Materials Solutions, Americas Building Solutions, Europe Materials Solutions and Europe Building Solutions.

During the fourth quarter of 2024, the Company's reportable segments changed to the following three segments:

Americas Materials Solutions, Americas Building Solutions, and International Solutions;

across two Divisions:

CRH Americas and CRH International.

Within CRH’s segments, revenue is disaggregated by principal activities and products and by primary geographic market.

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Outdoor Living Solutions integrate specialized materials, products and design features to enhance the quality of private and public spaces.

The Company’s measure of segment profit is Adjusted EBITDA, which is defined as earnings from continuing operations before interest, taxes, depreciation, depletion, amortization, loss on impairments, gain/loss on divestitures, income/loss from equity method investments, substantial acquisition-related costs and pension expense/income excluding current service cost component.

The Company’s measure of segment profit is Adjusted EBITDA, which is defined as earnings from continuing operations before interest, taxes, depreciation, depletion, amortization, loss on impairments, gain/loss on divestitures and unrealized gain/loss on investments, income/loss from equity method investments, substantial acquisition-related costs and pension expense/income excluding current service cost component.

Americas Materials Solutions

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Adjusted EBITDA margin 19.8% 23.2%

Americas Materials Solutions’ total revenues were 5% ahead of the prior year as price increases and contributions from acquisitions offset lower activity levels which were impacted by adverse weather.

Organic total revenues* were 1% ahead.

In Essential Materials, total revenues were 5% ahead of the prior year, supported by aggregates and cement pricing, which were ahead by 10% and 8%, respectively.

Aggregates volumes declined by 3% while cement volumes increased by 1% compared to 2023.

In Road Solutions, total revenues increased by 5% driven by pricing progression and sustained activity levels through continued state and federal funding support.

Asphalt prices increased by 3% while volumes, impacted by weather, declined 2% against 2023.

Paving and construction revenues increased 5% versus the prior year.

Readymixed concrete pricing was 6% higher than the prior year, while volumes were 1% ahead.

Adjusted EBITDA for Americas Materials Solutions of $3.7 billion was 22% ahead of the prior year with growth across all regions.

Positive pricing, disciplined cost management and operational efficiencies along with gains on land asset sales offset lower volumes in certain markets.

Organic Adjusted EBITDA* was 18% ahead of 2023.

Adjusted EBITDA margin increased by 340bps.

Analysis of Change

in $ millions 2022

Currency Acquisitions Divestitures Organic 2023 % change

Total revenues 14,324 (44) +242 – +913 15,435 +8%

Adjusted EBITDA 2,638 (6) +42 – +385 3,059 +16%

Adjusted EBITDA margin 18.4% 19.8%

Americas Materials Solutions’ total revenues were 8% ahead of 2022, 6% ahead on an organic* basis, driven primarily by price progression across all business lines and partly offset by lower activity levels in certain regions.

8 unchanged sentences

Adjusted EBITDA margin increased by 140bps.

Analysis of Change

in $ millions 2021 Currency Acquisitions Divestitures Organic 2022 % change

Total revenues 12,407 (41) +511 (60) +1,507 14,324 +15%

Adjusted EBITDA 2,543 (4) +40 (13) +72 2,638 +4%

Adjusted EBITDA margin 20.5% 18.4%

Americas Materials Solutions’ total revenues were 15% ahead of 2021, 12% on an organic* basis, driven primarily by price progression across all lines of business which was partly offset by lower volumes impacted by unfavorable weather.

In Essential Materials, total revenues increased by 9%.

Aggregates prices increased by 10%, however aggregates volumes declined by 1% compared with 2021 as increased volumes in the South and Great Lakes regions were offset by unfavorable weather which impacted activity in the West and Northeast regions.

Our cement operations delivered revenue growth driven primarily by price increases of 12% which offset a 3% volume decline compared with 2021.

In Road Solutions, total revenues increased by 19%.

Asphalt volumes were 3% ahead of 2021, driven by increases in the South and Great Lakes regions, while volumes were lower in the Northeast and West regions.

Asphalt prices increased by 20% compared with prior year.

Paving and construction revenues were 25% ahead of 2021 due to a favorable order book and increased project execution.

Readymixed concrete prices were higher across all regions, 14% ahead of 2021.

Volumes were 6% behind 2021 levels, impacted by less favorable weather conditions in the West and the Northeast.

Adjusted EBITDA in Americas Materials Solutions of $2.6 billion was 4% ahead of 2021, 3% on an organic* basis, as the impact of positive pricing was offset by higher costs in energy, labor, subcontracting and haulage.

While Adjusted EBITDA was ahead of the prior year, Adjusted EBITDA margin declined by 210bps.

11 * Represents a non-GAAP measure.

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Adjusted EBITDA margin 20.6% 19.7%

In 2024, Americas Building Solutions' total revenues were 1% ahead of the prior year as positive contributions from acquisitions were partially offset by subdued new-build residential demand and adverse weather.

Organic total revenues* were 2% behind the prior year.

In Building & Infrastructure Solutions, total revenues were 2% ahead of the prior year as contributions from acquisitions offset lower activity levels due to adverse weather conditions and subdued new-build residential demand.

In Outdoor Living Solutions, total revenues were flat compared with 2023 as unfavorable weather conditions offset increased sales into the retail channel.

Adjusted EBITDA for Americas Building Solutions was 4% behind 2023 and 6% behind on an organic* basis as adverse weather and subdued new-build residential demand impacted performance.

Adjusted EBITDA margin was 90bps behind the prior year.

Analysis of Change

in $ millions 2022 Currency Acquisitions Divestitures Organic 2023

Total revenues 6,188 (14) +751 – +92 7,017 +13%

Adjusted EBITDA 1,219 (4) +153 – +74 1,442 +18%

Adjusted EBITDA margin 19.7% 20.6%

Americas Building Solutions recorded total revenues growth of 13%, driven by the continued execution of our integrated solutions strategy, good commercial progress through price increases and contributions from prior year acquisitions, primarily Barrette.

4 unchanged sentences

As a result, the Adjusted EBITDA margin was 90bps ahead of the prior year.

* Represents a non-GAAP measure.

See the discussion within 'Non-GAAP Reconciliation and Supplementary Information' on pages 40 to 42.

CRH Form 10-K 38

International Solutions

Analysis of Change

3 unchanged sentences

Adjusted EBITDA margin 13.4% 14.6%

Americas Building Solutions recorded total revenues growth of 34% primarily through the positive acquisition impact mainly from National Pipe & Plastics, Inc.

and Barrette.

Revenue growth was 10% on an organic* basis, due to increasing demand for critical utility infrastructure and outdoor living solutions.

In Building & Infrastructure Solutions, total revenues increased by 63%, and 21% ahead on an organic* basis.

Infrastructure Products delivered total revenues growth in 2022, with favorable demand in the communications, energy, water, and transportation sectors as well as contributions from acquisitions leading to increased year-on-year revenue growth.

In Outdoor Living Solutions, total revenues increased by 20%, and 5% ahead on an organic* basis.

Architectural Products delivered revenue growth in 2022 as a result of increased repair and remodel activity offsetting decreased new-build residential construction activity.

Adjusted EBITDA in Americas Building Solutions was 69% ahead of the prior year, 18% ahead on an organic* basis, partially due to positive impact from acquisitions.

Growth was driven by increased revenues combined with continued cost control and production efficiencies offsetting increased raw materials, labor and haulage costs.

A strong trading result and the impact of acquisitions resulted in Adjusted EBITDA margin being 410bps ahead of the prior year.

* Represents a non-GAAP measure.

See the discussion within 'Non-GAAP Reconciliation and Supplementary Information' on pages 38 to 40.

CRH Form 10-K 35

Europe Materials Solutions

International Solutions’ total revenues were 1% behind the prior year.

Organic total revenues* were 4% behind as positive pricing momentum and good volume growth in Central and Eastern Europe were offset by lower volumes in Western Europe as well as lower trading activities in the Building & Infrastructure Solutions and Outdoor Living Solutions businesses.

In Essential Materials, total revenues were 2% behind as continued pricing progress and contributions from acquisitions were offset by the divestiture of the European Lime operations.

Aggregates volumes were 3% ahead of 2023 with cement volumes 5% ahead, supported by good growth in Central and Eastern Europe as well as recent acquisitions.

Aggregates pricing was 4% ahead and overall cement pricing was 3% ahead of 2023.

In Road Solutions, total revenues were 2% ahead of 2023.

Volumes and prices were ahead in the readymixed concrete business by 8% and 3%, respectively, benefiting from volume growth in Central and Eastern Europe as well as acquisitions in the period.

Asphalt volumes and pricing declined 2% and 1%, respectively.

Paving and construction revenues were behind 2023 due to lower activity levels in Western Europe.

Total revenues in Building & Infrastructure Solutions and Outdoor Living Solutions declined by 6% compared with the prior year, amid continued subdued new-build residential activity.

Adjusted EBITDA in International Solutions was $1.8 billion, 7% ahead of 2023, and 8% ahead on an organic* basis, primarily driven by increased pricing, lower energy costs and operational efficiencies.

Adjusted EBITDA margin increased by 120bps compared with 2023.

Analysis of Change

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Adjusted EBITDA margin 12.5% 13.4%

Europe Materials Solutions’ performance in 2023 was driven by continued pricing progress which more than offset lower activity levels, resulting in total revenues growth of 4%, or 3% ahead of 2022 on an organic* basis.

International Solutions’ performance in 2023 was driven by continued pricing progress which more than offset lower activity levels, resulting in total revenues growth of 2%.

Organic* revenues were in line with the prior year.

In Essential Materials, total revenues were 5% ahead of 2022 driven by positive pricing for aggregates and cement which were ahead by 9% and 18%, respectively.

4 unchanged sentences

Readymixed concrete pricing improved by 17%, while volumes decreased by 14%.

In 2023 Adjusted EBITDA in Europe Materials Solutions was $1.4 billion, 17% ahead of 2022 and 14% ahead on an organic* basis.

Total revenues in Building & Infrastructure Solutions and Outdoor Living Solutions declined by 2% compared with 2022 as increased infrastructure demand was more than offset by subdued new-build residential activity.

Positive pricing and commercial progress was offset by lower activity experienced in several markets of the Precast and Construction Accessories businesses in particular.

In 2023 Adjusted EBITDA in International Solutions was $1.7 billion, 9% ahead of 2022 and 7% ahead on an organic* basis.

Adjusted EBITDA growth was primarily driven by positive pricing and lower haulage and raw materials costs, which offset lower volume levels.

Adjusted EBITDA margin increased by 90bps compared with 2022.

Analysis of Change

in $ millions 2021 Currency Acquisitions Divestitures Organic 2022 % change

Total revenues 9,389 (1,019) +71 (44) +952 9,349 –%

Adjusted EBITDA 1,228 (136) +5 (4) +102 1,195 (3)%

Adjusted EBITDA margin 13.1% 12.8%

Europe Materials Solutions benefited from commercial management initiatives across all countries, which, along with a continued focus on cost savings, helped to mitigate energy and cost inflation, as well as the impact of the conflict in Ukraine.

An unfavorable currency translation impact resulted in total revenues in line with 2021, with organic total revenues* 11% ahead reflecting continued pricing progress which offset the impact of lower activity levels.

In Essential Materials Solutions, total revenues were 1% behind, however organic total revenues* finished 11% ahead of 2021 driven by pricing progress.

Activity levels were mainly impacted by the ongoing conflict in Ukraine and reduced new-build residential demand.

Aggregates prices were ahead by 13%, however volumes were behind 2021 by 7%.

Cement prices increased by 24% compared with 2021 while volumes were 9% behind 2021.

In Road Solutions, total revenues were flat compared with 2021, 12% ahead on an organic* basis, driven by pricing increases and ongoing performance optimization initiatives.

Activity levels benefited mainly from an increase in project and construction activity in several countries.

Asphalt pricing increased by 20% compared with 2021 however volumes were down 9%.

Readymixed concrete pricing improved by 18% from 2021 with volumes decreasing by 4%.

In 2022, Adjusted EBITDA in Europe Materials Solutions was $1.2 billion, 3% behind 2021 due to an unfavorable currency translation impact and higher energy costs, despite reductions in haulage and raw materials costs as a result of lower volumes.

On an organic* basis, Adjusted EBITDA was 9% ahead of prior year.

Adjusted EBITDA margin reduced by 30bps compared with 2021.

14 * Represents a non-GAAP measure.

1 unchanged sentence

CRH Form 10-K 39

Europe Building Solutions

Analysis of Change

in $ millions 2022 Currency Acquisitions Divestitures Organic 2023 % change

Total revenues 2,862 +69 +95 – (219) 2,807 (2)%

Adjusted EBITDA 336 +4 +8 – (68) 280 (17)%

Adjusted EBITDA margin 11.7% 10.0%

Total revenues in Europe Building Solutions declined by 2% as increased infrastructure demand was more than offset by subdued new-build residential activity.

Organic revenues* were 7% behind the prior year.

Within Building & Infrastructure Solutions, total revenues declined by 3% compared with 2022.

Infrastructure Products delivered growth in total revenues as positive pricing more than offset slower new-build residential activity across most European markets.

Precast revenues were behind 2022 as positive commercial progress was offset by lower market activity.

Revenues in Construction Accessories were behind the prior year as price increases were offset by subdued new-build residential activity in several markets.

Revenues in Outdoor Living Solutions were 4% ahead of the prior year as positive pricing more than offset the impact of lower demand and unfavorable weather in certain key markets.

Despite disciplined commercial management, cost saving initiatives and lower raw materials and haulage costs, Adjusted EBITDA in Europe Building Solutions declined by 17% compared with the prior year, a 20% decrease on an organic* basis, primarily driven by a slowdown in residential construction activity.

Consequently, Adjusted EBITDA margin decreased by 170bps compared with the prior year.

Analysis of Change

in $ millions 2021 Currency Acquisitions Divestitures Organic 2022 % change

Total revenues 2,782 (284) +53 – +311 2,862 +3%

Adjusted EBITDA 315 (17) +7 – +31 336 +7%

Adjusted EBITDA margin 11.3% 11.7%

Europe Building Solutions recorded total revenues growth of 3% impacted by unfavorable currency translations.

Total revenues growth was 12% ahead of 2021 on an organic* basis, driven by pricing progression in Construction Accessories and Infrastructure Products.

In Building & Infrastructure Solutions, total revenues were 5% ahead of 2021, with total revenues 14% ahead on an organic* basis.

Infrastructure Products experienced total revenues growth particularly as a result of increased demand in the telecommunications sector.

Demand for Precast products was ahead of 2021 and along with higher pricing resulted in increased total revenues.

Proactive pricing actions by our Construction Accessories business also resulted in total revenues ahead of prior year.

In Outdoor Living Solutions, total revenues were 4% behind 2021 primarily due to unfavorable currency movements.

On an organic* basis, total revenues were 8% ahead of prior year as a positive start to the year offset a slower second half of 2022 as rising energy costs, general inflation and the war in Ukraine negatively impacted demand.

In 2022, Adjusted EBITDA in Europe Building Solutions was 7% ahead of prior year, 10% ahead on an organic* basis, with increased revenues offsetting the impact of cost increases, primarily in haulage and raw materials.

This combined with continued cost control measures and production efficiencies resulted in Adjusted EBITDA growth compared with 2021 with Adjusted EBITDA margin 40bps ahead compared with 2021.

* Represents a non-GAAP measure.

See the discussion within 'Non-GAAP Reconciliation and Supplementary Information' on pages 38 to 40.

CRH Form 10-K 37

Non-GAAP Reconciliation and Supplementary Information

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Adjusted EBITDA:

Adjusted EBITDA is defined as earnings from continuing operations before interest, taxes, depreciation, depletion, amortization, loss on impairments, gain/loss on divestitures, income/loss from equity method investments, substantial acquisition-related costs and pension expense/income excluding current service cost component.

Adjusted EBITDA is defined as earnings from continuing operations before interest, taxes, depreciation, depletion, amortization, loss on impairments, gain/loss on divestitures and unrealized gain/loss on investments, income/loss from equity method investments, substantial acquisition-related costs and pension expense/income excluding current service cost component.

It is quoted by management in conjunction with other GAAP and non-GAAP financial measures to aid investors in their analysis of the performance of the Company.

5 unchanged sentences

Income from discontinued operations, net of income tax expense – – (1,190)

Loss (income) from equity method investments 17 – (55)

Loss from equity method investments (i) 108 17 –

Income tax expense 1,085 925 762

Loss (gain) on divestitures (i) – 99 (78)

Pension income excluding current service cost component (i) (3) (30) (9)

Other interest, net (i) 5 – (3)

(Gain) loss on divestitures and unrealized gains on investments (ii) (250) – 99

Pension income excluding current service cost component (ii) (7) (3) (30)

Other interest, net (ii) (1) 5 –

Interest expense 612 376 344

1 unchanged sentence

Depreciation, depletion and amortization 1,798 1,633 1,552

Loss on impairments (ii) 357 – –

Loss on impairments (i) 161 357 –

Substantial acquisition-related costs (iii) 46 – 27

1 unchanged sentence

Total revenues 35,572 34,949 32,723

Net income margin 9.9 % 8.8 % 11.9 %

Adjusted EBITDA margin 19.5% 17.7% 16.5%

(i) Loss (gain) on divestitures, pension income excluding current service cost component and other interest, net have been included in Other nonoperating (expense) income, net in the Consolidated Statements of Income.

(ii) For the year ended December 31, 2023, the total impairment loss comprised of $62 million within Americas Materials Solutions and $295 million within Europe Materials Solutions.

(iii) Represents expenses associated with non-routine substantial acquisitions, which are those not bolt-on in nature and are separately reported in Note 4 “Acquisitions” of the audited financial statements.

Expenses in 2022 include legal and consulting expenses related to the acquisition of Barrette.

(i) For the year ended December 31, 2024, the total impairment loss comprised $0.35 billion, principally related to the Architectural Products reporting unit within International Solutions and the equity method investment in China.

For the year ended December 31, 2023, the total impairment loss comprised $62 million within Americas Materials Solutions and $295 million within International Solutions.

(ii) (Gain) loss on divestitures and unrealized gains on investments, pension income excluding current service cost component and other interest, net have been included in Other nonoperating income (expense), net in the Consolidated Statements of Income.

(iii) Represents expenses associated with non-routine substantial acquisitions, which meet the criteria for being separately reported in Note 4 “Acquisitions” of the audited financial statements.

Expenses in 2024 and in 2022 primarily include legal and consulting expenses related to these non-routine substantial acquisitions.

Return on Net Assets (RONA):

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It also supports the effective management of the Company’s working capital base.

RONA is calculated by expressing operating income from continuing operations and operating income from discontinued operations excluding loss on impairments (which are non-cash) as a percentage of average net assets.

RONA is calculated by expressing operating income from continuing operations and operating income from discontinued operations excluding loss on impairments (which is non-cash) as a percentage of average net assets.

Net assets comprise total assets by segment (including assets held for sale) less total liabilities by segment (excluding finance lease liabilities and including liabilities associated with assets classified as held for sale) as shown below and detailed in Note 3 “Assets held for sale and discontinued operations” in Item 8.

“Financial Statements and Supplementary Data” and excludes equity method investments and other financial assets, Net Debt (as defined below) and tax assets and liabilities.

“Financial Statements and Supplementary Data” and excludes equity method investments and other financial assets, Net Debt (as defined on page 42) and tax assets and liabilities.

The average net assets for the year is the simple average of the opening and closing balance sheet figures.

20 unchanged sentences

28,816 29,702 28,788

Assets held for sale (iii) 1,268 – –

Liabilities associated with assets classified as held for sale (iii) (375) – –

29,709 29,702 28,788

Denominator for RONA computation - average net assets 32,865 29,706 29,245

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(i) Operating income is adjusted for loss on impairments.

For the year ended December 31, 2023, the total impairment loss comprised of $62 million within Americas Materials Solutions and $295 million within Europe Materials Solutions.

For the year ended December 31, 2024, the total impairment loss comprised $161 million within International Solutions.

For the year ended December 31, 2023, the total impairment loss comprised $62 million within Americas Materials Solutions and $295 million within International Solutions.

(ii) Segment assets and liabilities as disclosed in Note 20 “Segment information” in Item 8.

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Acquisitions completed in 2024 and 2023 contributed incremental total revenues of $1.6 billion and Adjusted EBITDA of $0.3 billion in 2024.

Cash proceeds from divestitures and disposals of long-lived assets (including deferred divestiture consideration received) amounted to $0.1 billion in 2023, compared with $3.9 billion in 2022.

The total revenues impact of divestitures in 2023 was a negative $0.2 billion and the impact at an Adjusted EBITDA level was a negative $12 million.

Cash proceeds from divestitures and disposal of long-lived assets (including deferred divestiture consideration received) amounted to $1.4 billion in 2024, compared with $0.1 billion in 2023.

The total revenues impact of divestitures in 2024 was a negative $0.7 billion and the impact at an Adjusted EBITDA level was a negative $0.2 billion.

Dollar weakened against most major currencies during 2024 resulting in an overall positive currency exchange impact in 2024.

Because of the impact of acquisitions, divestitures, currency exchange translation and other non-recurring items on reported results each year, CRH uses organic revenue and organic Adjusted EBITDA as additional performance indicators to assess performance of pre-existing (also referred to as underlying, heritage, like-for-like or ongoing) operations each year.

Organic revenue and organic Adjusted EBITDA are arrived at by excluding the incremental revenue and Adjusted EBITDA contributions from current and prior year acquisitions and divestitures, the impact of exchange translation, and the impact of any one-off items.

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“Management’s Discussion and Analysis of Financial Condition and Results of Operations” commencing on page 31.

EPS pre‑impairment:

EPS pre‑impairment is a measure of the Company's profitability per share from continuing operations excluding any loss on impairments (which is non-cash) and the related tax impact of such impairments.

Basic EPS pre‑impairment:

Basic EPS pre‑impairment is a measure of the Company's profitability per share from continuing operations excluding any loss on impairments (which is non-cash) and the related tax impact of such impairments.

It is used by management to evaluate the Company's underlying profit performance and its own past performance.

EPS information presented on a pre‑impairment basis is useful to investors as it provides an insight into the Company's underlying performance and profitability.

EPS pre‑impairment is calculated as income from continuing operations adjusted for (i) net (income) attributable to redeemable noncontrolling interests (ii) net loss (income) attributable to noncontrolling interests (iii) adjustment of redeemable noncontrolling interests to redemption value and excluding any loss on impairments (and the related tax impact of such impairments) divided by the weighted average number of common shares outstanding for the year.

Basic EPS information presented on a pre‑impairment basis is useful to investors as it provides an insight into the Company's underlying performance and profitability.

Basic EPS pre‑impairment is calculated as income from continuing operations adjusted for (i) net (income) attributable to redeemable noncontrolling interests (ii) net loss (income) attributable to noncontrolling interests (iii) adjustment of redeemable noncontrolling interests to redemption value and excluding any loss on impairments (and the related tax impact of such impairments) divided by the weighted average number of common shares outstanding for the year.

Reconciliation to its nearest GAAP measure is presented below:

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Net (income) attributable to redeemable noncontrolling interests (28) ($0.04) (28) ($0.04) (27) ($0.03)

Net loss (income) attributable to noncontrolling interests 134 $0.19 – – (34) $(0.04)

Net (income) loss attributable to noncontrolling interests (1) – 134 $0.19 – –

Adjustment of redeemable noncontrolling interests to redemption value (34) ($0.05) (24) ($0.03) 40 $0.05

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Impairment of property, plant and equipment and intangible assets 161 $0.24 224 $0.30 – –

Impairment of equity method investments (net of tax)

151 $0.22 – – – –

Tax related to impairment charges (26) ($0.04) (9) ($0.01) – –

Income from continuing operations for EPS – pre-impairment (i) 3,744 $5.48 3,369 $4.65 2,712 $3.58

(i) Reflective of CRH’s share of impairment of property, plant and equipment and intangible assets ($224 million) and related tax effect.

(i) Reflective of CRH’s share of impairment of property, plant and equipment and intangible assets (2024:

$161 million;

$224 million), an impairment of equity method investments (2024:

$190 million;

$nil million) and related tax effect.

CRH Form 10-K 42

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In addition, the Company believes that it will have sufficient ability to fund additional acquisitions via cash flows from internally available cash, cash flows from operating activities and, subject to market conditions, via obtaining additional borrowings and/or issuing additional debt or equity securities.

Total short and long-term debt was $11.6 billion at December 31, 2023 compared with $9.6 billion in 2022.

In April 2023, €750 million of euro-denominated notes were repaid.

Subsequently, €2 billion in new euro-denominated notes were issued in July 2023, followed by a further repayment of €500 million euro-denominated notes in November 2023.

Total short and long-term debt was $14.0 billion at December 31, 2024, compared with $11.6 billion in 2023 and $9.6 billion in 2022.

I n January 2024, €600 million 1.875% euro Senior Notes were repaid on maturity.

In May 2024, wholly-owned subsidiaries of the Company issued $750 million 5.20% Senior Notes due 2029 and $750 million 5.40% Senior Notes due 2034.

In July 2024, as part of the Adbri acquisition $0.5 billion of external debt was acquired.

In December 2024, the Company entered into and drew down a $750 million two-year term loan at a fixed rate of 4.91%.

For additional information on new fixed rate debt issuance, see Note 11 “Debt” in Item 8.

“Financial Statements and Supplementary Data”.

Year-end Net Debt* at December 31, 2023 was $5.4 billion, compared with $3.9 billion in 2022.

The increase in year-end Net Debt* between 2023 and 2022 reflects inflows from operations more than offset by outflows from the purchase of property, plant and equipment, acquisitions of subsidiaries and cash returns to shareholders through share buybacks and dividends.

Net Debt* at December 31, 2024, was $10.5 billion, compared with $5.4 bill ion in 2023.

The increase in Net Debt* between 2024 and 2023 reflects acquisitions, cash returns to shareholders through dividends and continued share buybacks, as well as the purchase of property, plant and equipment, partially offset by inflows from operating activities and proceeds from divestitures .

CRH continued its ongoing share buyback program in 2024 repurchasing 15.9 million ordinary shares for a total consideration of $1.3 billion, and in 2023 54.9 million ordinary shares were repurchased for total consideration of $3.0 billion.

The Company also made cash dividend payments of $0.9 billion in both 2023 and 2022.

At December 31, 2023, CRH had cash and cash equivalents of $6.4 billion compared with $5.9 billion in 2022 and $5.8 billion in 2021.

At December 31, 2023, CRH had outstanding total short and long-term debt of $11.6 billion compared with $9.6 billion in 2022 and $10.5 billion in 2021.

The Company also made cash dividend payments of $1.7 billion in 2024 and $0.9 billion in 2023.

At December 31, 2024, CRH had cash and cash equivalents and restricted cash of $3.8 billion compa red with $6.4 billion in 2023 and $5.9 billion in 2022.

Total lease liabilities were $1.6 billion compared with $1.5 billion in 2023 and $1.3 billion in 2022.

At December 31, 2023, CRH had $3.9 billion of undrawn committed facilities which are available until 2028.

At December 31, 2023, CRH had sufficient cash balances to meet all maturing debt obligations for the next 4.7 years and the weighted average maturity of the remaining term debt was 12.1 years.

At December 31, 2024, CRH had $3.8 billion of undrawn committed facilities, $3.6 billion of which is available until May 2029.

At December 31, 2024, the weighted average maturity of the term debt (net of cash and cash equivalents) was 7.5 years.

Cash flows from operating activities

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2024 versus 2023

Net cash provided by operating activities was $5.0 billion in 2023 and $3.8 billion in 2022.

Net cash provided by operating activities in 2023 was primarily from net income of $3.1 billion, adjusted for depreciation, depletion, and amortization of $1.6 billion and loss on impairments of $0.4 billion.

The primary drivers of the $1.2 billion increase in net cash provided by operating activities in 2023 compared with 2022 were lower non-cash adjustments and positive working capital movements.

Net cash provided by operating activities was $5.0 billion in 2024, in line with $5.0 billion in 2023.

Net cash provided by operating activities in 2024 was primarily from net income of $3.5 billion, adjusted for depreciation, depletion, and amortization of $1.8 billion and loss on impairments of $0.35 billion, partly offset by higher non-operating cash adjustments and working capital outflows.

2023 versus 2022

Net cash provided by operating activities was $5.0 billion in 2023 and $3.8 billion in 2022.

Net cash provided by operating activities in 2022 was primarily from net income of $3.9 billion, adjusted for $1.6 billion of depreciation, depletion, and amortization, and offset by the gains on divestitures from discontinued operations, businesses and long-lived assets of $1.4 billion related to the divestiture of the Building Envelope business.

The primary drivers of the decrease in net cash provided by operating activities in 2022 compared with 2021 of $0.2 billion were changes to net income, non-cash adjustments, movements in working capital balances and higher tax outflows relating to the divestiture of the Building Envelope business.

*Represents a non-GAAP measure.

See the discussion within 'Non-GAAP Reconciliation and Supplementary Information' on pages 38 to 40.

CRH Form 10-K 41

Net cash provided by operating activities in 2023 was primarily from net income of $3.1 billion, adjusted for depreciation, depletion, and amortizatio n of $1.6 billion and loss on impairments of $ 0.4 billion .

The primary drivers of the $1.2 billion increase in net cash provided by operating activities in 2023 compared with 2022 were lower non-cash adjustments and positive working capital movements.

Cash flows from investing activities

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Net cash used in investing activities increased to $6.3 billion in 2024 from $2.4 billion in 2023, an increase of $3.9 billion.

Capital expenditure totaled

$2.6 billion, resulting in an increased outflow of $0.8 billion versus prior year.

During 2024, net cash used on acquisitions and divestitures was $3.5 billion as acquisition spend exceeded proceeds from divestitures and disposal of long-lived assets, primarily related to the completed divestiture of the European Lime operations and the divestiture of certain operations in Canada.

2023 versus 2022

Net cash used in investing activities increased to $2.4 billion in 2023 from $0.9 billion in 2022, an increase of $1.5 billion.

This increase was primarily driven by a reduction in proceeds from divestitures and increased capital expenditure.

In 2022, net cash provided by acquisition and divestiture activity was $0.6 billion as divestiture proceeds more than offset acquisition spend.

In 2023, net cash used on acquisitions and divestitures was $0.5 billion as acquisition spend exceeded proceeds from divestitures and disposals of long-lived assets.

In 2023, net cash used on acquisitions and divestitures was $0.5 billion as acquisition spend exceeded proceeds from divestitures and disposal of long-lived assets.

Net cash used in investing activities also increased as a result of purchases of property, plant and equipment increasing to $1.8 billion in 2023, an increase of $0.3 billion compared with 2022.

2022 versus 2021

Net cash used in investing activities decreased from $2.5 billion in 2021 to $0.9 billion in 2022 primarily driven by changes in acquisition and divestiture activity in 2022 compared with 2021.

Cash outflows associated with acquisitions (net of cash acquired) increased from $1.5 billion in 2021 to $3.3 billion in 2022, an increase of $1.8 billion.

In 2022, CRH invested $3.3 billion on acquisitions, with the largest acquisition being the acquisition of Barrette for $1.9 billion.

In 2021, CRH invested $1.5 billion on acquisitions, the largest of which was the acquisition of Angel Brother Enterprises.

Proceeds from divestitures and disposals of long-lived assets (including deferred divestiture consideration received) increased by $3.4 billion, from $0.5 billion in 2021 to $3.9 billion in 2022.

The largest divestiture in 2022 was the Building Envelope business for cash proceeds of $3.5 billion.

In 2021, divestiture proceeds were $0.5 billion (including deferred divestiture consideration received).

CRH’s investment in development and replacement capital expenditure in 2022 amounted to $1.5 billion, a decrease of 2% from 2021.

*Represents a non-GAAP measure.

See the discussion within 'Non-GAAP Reconciliation and Supplementary Information' on pages 40 to 42.

CRH Form 10-K 43

Cash flows from financing activities

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2024 versus 2023

Net cash used in financing activities was $1.2 billion for the year ended December 31, 2024, a decrease of $1.2 billion.

Proceeds from debt issuances were $4.0 billion, an increase of $0.8 billion, which was primarily related to the issuance and sale of $750 million 5.20% Senior Notes due 2029 and $750 million 5.40% Senior Notes due 2034, the drawdown of a $750 million fixed rate loan due 2026, as well as the issuance of $1.7 billion under the Company’s commercial paper programs.

Payments of debt were $1.9 billion, primarily the repayment of the €600 million 1.875% euro Senior Notes on maturity in January 2024 as well as the repayment of $1.2 billion issued under the Company’s commercial paper programs.

Dividends paid were $1.7 billion, an increase of 81% compared with 2023.

In 2024, the Company moved to payment of quarterly dividends in addition to the payment of the second interim 2023 dividend while the same period in the prior year saw an outflow related to the final 2022 dividend and the first interim 2023 dividend.

Outflows related to the repurchases of common stock were $1.5 billion, compared to $3.1 billion in 2023.

2023 versus 2022

The $0.1 billion decrease in cash used in financing activities between 2023 and 2022 was driven by a number of factors.

Payments on debt increased to $1.5 billion from $0.4 billion in 2022.

CRH repaid a €750 million euro-denominated bond on maturity in April 2023 and a €500 million euro-denominated bond on maturity in November 2023.

Offsetting these increases in cash outflows was an increase in proceeds from debt issuances when CRH issued €2 billion of euro-denominated bonds in July 2023 as well as net issuance of $1.0 billion under the Company’s U.S.

Payments of debt increased to $1.5 billion from $0.4 billion in 2022.

CRH repaid a €750 million euro-denominated Senior Notes on maturity in April 2023 and a €500 million euro-denominated Senior Notes on maturity in November 2023.

Offsetting these increases in cash outflows was an increase in proceeds from debt issuances when CRH issued €2 billion of euro-denominated Senior Notes in July 2023 as well as net issuance of $1.0 billion under the Company’s U.S.

Dollar Commercial Paper Program.

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Dividends paid in 2023 amounted to $0.9 billion, an increase of 3% compared with 2022.

2022 versus 2021

The $0.6 billion decrease in cash used in financing activities between 2022 and 2021 was primarily driven by a decrease in expenditure on payments on debt to $0.4 billion in 2022 from $1.2 billion in 2021.

In 2022 CRH repaid a CHF330 million Swiss Franc-denominated bond on maturity whereas in 2021 CRH repaid a $400 million U.S.

Dollar-denominated bond on maturity in January 2021 and repaid a €600 million euro-denominated bond in April 2021 (the latter after exercising a three-month par-call option).

Cash outflows relating to repurchases of common stock increased by $0.3 billion to $1.2 billion, compared with $0.9 billion in 2021.

Dividends paid in 2022 amounted to $0.9 billion, an increase of 1% compared with 2021.

Debt facilities

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2029 $1.3 billion

CRH Form 10-K 42

Unsecured senior notes

The main sources of Company debt funding are public bond markets in North America and Europe.

The main sources of Company debt funding are debt capital markets in North America and Europe.

See Note 11 “Debt” in Item 8.

“Financial Statements and Supplementary Data” for further details regarding our debt obligations.

In July 2023, CRH accessed the euro debt capital markets and raised €2.0 billion in funding across 3 tranches in 4-year, 8-year, and 12-year tenors at a weighted average coupon of 4.13% and weighted average tenor of 8.5 years.

A €750 million euro-denominated bond was repaid in April 2023 and a €500 million euro-denominated bond was repaid in November 2023, both from existing cash resources.

Revolving Credit Facilities

In May 2024, wholly-owned subsidiaries of the Company completed the issuance and sale of $750 million 5.20% Senior Notes due 2029 and $750 million 5.40% Senior Notes due 2034.

Bank credit facilities

The Company manages its borrowing ability by entering into committed borrowing agreements.

Revolving committed bank facilities are generally available to the Company for periods of up to five years from the date of inception.

The Company’s multi-currency revolving credit facility (the “RCF”), dated May 2023, is made available from a syndicate of Lenders, consisting of a €3.5 billion unsecured, revolving loan facility, which terminates in 2028.

Drawings on the Company's RCF are based upon EURIBOR for euro drawings, the Secured Overnight Financing Rate (SOFR) for U.S.

The Company has a multi-currency revolving credit facility (the ‘RCF’), dated May 2023, which is made available from a syndicate of lenders, consisting of a €3.5 billion unsecured, revolving loan facility with maturity in May 2029.

See Note 11 “Debt” in Item 8.

“Financial Statements and Supplementary Data” for further details regarding the RCF.

In December 2024, the Company entered into and drew down a $750 million two-year term loan at a fixed rate of 4.91%.

At December 31, 2024, the loan was fully drawn.

Interest on drawings on the Company's RCF are based upon Euro Interbank Offer Rate (EURIBOR) for euro drawings, the Secured Overnight Financing Rate (SOFR) for U.S.

Dollar drawings, Sterling Overnight Index Average (SONIA) for Pound Sterling drawings and the Swiss Average Rate Overnight (SARON) for Swiss Franc drawings, respectively.

At December 31, 2023 and December 31, 2022 the RCF was undrawn.

At December 31, 2024, and December 31, 2023, the RCF wa s undrawn.

The Company has given letters of guarantee to secure obligations of subsidiary undertakings as follows:

$11.3 billion in respect of loans and borrowings, bank advances and derivative obligations, compared with $9.3 billion in 2022, and $0.4 billion in respect of letters of credit due within one year in both 2023 and 2022.

$13.1 billion in respect of loans and borrowings, bank advances and derivative obligations, compared with $11.3 billion in 2023, and $0.4 billion in respect of letters of credit due within one year, compared with $0.4 billion in 2023.

CRH Form 10-K 44

Commercial paper programs

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Commercial paper borrowings bear interest at rates determined at the time of borrowing.

There was $1.0 billion of outstanding issued notes at December 31, 2023.

The purpose of these programs is to provide short-term liquidity as required.

As of December 31, 2024, there was $1.2 billion of outstanding issued notes on the U.S.

Dollar Commercial Paper Program and $0.3 billion of outstanding issued notes on the Euro Commercial Paper Program.

The purpose of these programs is to provide short-term liquidity.

Off-balance sheet arrangements

CRH does not have any off-balance sheet arrangements that have, or are reasonably likely to have a current or future effect on CRH’s financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that may be material to investors.

Debt ratings 6 16

Our debt ratings and outlooks at December 31, 2024, are as follows:

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Total (vi) 22,249 5,634 5,117 3,812 7,686

(i) Of the $11.7 billion total gross debt, $0.1 billion is drawn on revolving facilities which may be repaid and redrawn up to the date of maturity.

(i) Of the $14.0 billion short and long-term debt, $0.5 billion is drawn on revolving facilities which may be repaid and redrawn up to the date of maturity.

(ii) Lease liabilities are presented on an undiscounted basis as detailed in Note 12 “Leases” in Item 8.

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(vi) Over the long term, CRH believes that our available cash and cash equivalents, cash from operating activities, along with the access to borrowing facilities will be sufficient to fund our long-term contractual obligations, maturing debt obligations and capital expenditures.

6 A security rating is not a recommendation to buy, sell or hold securities and may be subject to revision or withdrawal at any time by the assigning rating organization.

Each rating should be evaluated independently of any other rating.

CRH Form 10-K 45

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The impairment evaluation is a critical accounting policy because goodwill is material to our total assets (as of December 31, 2024, goodwill represents 22% of total assets), and the evaluation involves the use of significant estimates, key assumptions and judgment.

Goodwill is tested for impairment at the reporting unit level, one level below our reportable segments.

The Company has the option of either assessing qualitative factors to determine whether it is more likely than not that the carrying value of our reporting units exceeds their respective fair value or proceeding directly to a quantitative test.

There has been no change to the impairment of goodwill critical accounting estimate in the current financial year.

Goodwill is tested for impairment at the reporting unit level, one level below our reportable segments, with 26 reporting units identified for testing.

The Com pany has the option of either assessing qualitative factors to determine whether it is more likely than not that the carrying value of our reporting units exceeds their respective fair value or proceeding directly to a quantitative test.

We elected to perform the quantitative impairment test for all years presented.

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We determine the carrying value of each reporting unit by assigning assets and liabilities, including goodwill, to those reporting units as of the measurement date.

We estimate the fair values using a discounted cash flow model which requires management to make significant judgments and estimates regarding the future cash flows expected to be generated by reporting units to which goodwill has been allocated.

The cashflow forecasts are primarily based on a five-year strategic plan document formally approved by the Board of Directors.

We estimate the fair values using a discounted cash flow model which requires management to make significant estimates and judgments regarding the future cash flows expected to be generated by reporting units to which goodwill has been allocated.

The cash flow forecasts are primarily based on a five-year strategic plan document formally approved by the Board of Directors.

In assessing the fair value, cash flow forecasts are extrapolated using long-term growth rates to determine the basis for an annuity-based terminal value.

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The fair value represents the present value of the future cash flows, including the terminal value, discounted at a rate appropriate to each reporting unit.

We also considered the potential impact of a scenario of estimated higher carbon costs past the strategic plan period across our material reporting units subject to the European Union Emissions Trading Scheme.

These reporting units have high levels of headroom to absorb the estimated higher carbon costs which may not be recovered through pricing.

We also considered the potential impact of a scenario of estimated higher carbon costs past the strategic plan period across our reporting units subject to the European Union and United Kingdom Emissions Trading Systems.

These reporting units have sufficient levels of headroom to absorb the estimated higher carbon costs which may not be recovered through pricing.

The assumptions and conditions for determining impairments of goodwill reflect management’s best assumptions and estimates, but these items involve inherent uncertainties described above, many of which are not under management’s control.

As a result, the accounting for such items as a change to a reporting unit’s prospects, which may result from a change in market conditions, market trends, interest rates or other factors outside our control, or underperformance relative to historical or forecast projections, could result in a different estimate of the fair value of our reporting unit resulting in an impairment charge in the future.

The results of our annual impairment test for 2023 indicated that for our Philippines reporting unit, the fair value did not exceed carrying value, driven by challenging cement market conditions which had an impact on growth prospects and as such an impairment charge of $295 million has been recorded.

A sensitivity analysis, which represents management’s assessment of the economic environment in which this reporting unit operates has been prepared.

Based on a 0.5% decrease in Adjusted EBITDA margin* and a decrease of 0.5% in the assumed long-term growth rate an additional impairment charge of $41 million and $54 million, respectively, would arise.

An increase of 0.5% in the discount rate would result in an additional impairment charge of $66 million.

Further, an impairment charge of $32 million has been recorded across certain reporting units within our Americas Materials Solutions segment primarily relating to assets held for sale.

For all other reporting units with goodwill, their fair values exceeded their carrying values by a range of 40% to more than 100%.

The results of our annual impairment testing for 2024 indicated that all of our reporting units exceeded their carrying value except for the Architectural Products reporting unit within International Solutions.

Its fair value did not exceed carrying value, driven by challenging market conditions which had an impact on growth prospects and as such an impairment loss of $72 million has been recorded, resulting in a goodwill balance of $nil million.

A qualitative and quantitative assessment has been performed which resulted in a sensitivity analysis being prepared for two reporting units where their fair values did not substantially exceed their carrying values.

This sensitivity analysis represents management’s assessment of the economic environment in which these reporting units operate.

The key assumptions, methodology used and values applied to each of the key assumptions for these reporting units are in line with those outlined above (a 30-year annuity period has been used).

The two reporting units have an aggregate goodwill of $254 million at the date of testing.

The table below identifies the amounts by which each of the following assumptions may either decline or increase to arrive at a zero excess headroom of the present value of future cash flows over the carrying value of net assets in the two reporting units selected for sensitivity analysis disclosures:

Two reporting units

Reduction in Adjusted EBITDA margin*

1.2% and 2.1%

Reduction in long-term growth rate 1.2% and 1.6%

Increase in pre-tax discount rate 1.0% and 1.3%

Pension and other postretirement benefits

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The liabilities and costs associated with the Company’s defined benefit pension schemes (both funded and unfunded) are assessed on the basis of the projected unit credit method by professionally qualified actuaries and are arrived at using actuarial assumptions based on market expectations at the balance sheet date.

* Represents a non-GAAP measure.

See the discussion within 'Non-GAAP Reconciliation and Supplementary Information' on pages 40 to 42.

CRH Form 10-K 46

(Favorable) Unfavorable

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Expected return on plan assets – (7.1) – 7.1

* Represents a non-GAAP measure.

See the discussion within 'Non-GAAP Reconciliation and Supplementary Information' on pages 38 to 40.

CRH Form 10-K 44

The assumptions underlying the actuarial valuation of the projected benefit obligation (including discount rates, rates of increase in future compensation levels, mortality rates and healthcare cost trends) from which the amounts recognized in the Consolidated Financial Statements are determined, are updated annually based on current economic conditions and for any relevant changes to the terms and conditions of the pension and postretirement plans.

These assumptions can be affected by (i) for the discount rates, changes in the rates of return on high-quality corporate bonds (ii) for future compensation levels, future labor market conditions and (iii) for healthcare cost trend rates, the rate of medical cost inflation in the relevant regions.

These assumptions can be affected by (i) for the discount rates, changes in the rates of return on high-quality corporate bonds;

(ii) for future compensation levels, future labor market conditions;

and (iii) for healthcare cost trend rates, the rate of medical cost inflation in the relevant regions.

The assumption underlying the performance of plan assets (expected return on plan assets) is a long-term assumption which is reviewed annually and is used to estimate future asset returns.

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“Financial Statements and Supplementary Data”.

Business Combinations – Allocation of Purchase Price

The purchase price of assets acquired and liabilities assumed is determined based on the fair value of consideration transferred to and liabilities assumed from the seller as of the date of acquisition.

The Company allocates the purchase price to the fair values of the tangible and intangible assets acquired, and liabilities assumed as valued at the acquisition date.

Any excess of the purchase price over the fair value of the assets acquired and liabilities assumed is recorded as goodwill.

The purchase price allocation is a critical accounting estimate because the estimation of fair values of acquired assets and assumed liabilities is judgmental and requires management to utilize various assumptions.

Further, the amounts and useful lives assigned to depreciable and amortizable assets versus amounts assigned to goodwill can affect the results of operations in the period of and for periods after a business combination.

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction, and therefore represents an exit price.

A fair value measurement assumes the highest and best use of the asset by market participants.

The fair value hierarchy prioritizes the inputs to valuation techniques used to measure fair value into three levels as described below:

Unadjusted quoted prices in active markets for identical assets or liabilities.

Inputs that are derived from, or corroborated by, quoted prices or observable market data.

Inputs that are unobservable and are significant to the fair value of the assets or liabilities.

Level 1 fair values are used to value equity investments and long-term debt.

Level 2 fair values are typically used to value acquired receivables, inventory and equity method investments.

Additionally, Level 2 fair values are typically used to value contracts acquired at other than market rates.

Level 3 fair values are used to value acquired property, plant and equipment, mineral-bearing land and other identifiable intangible assets.

An in-use valuation premise is applied for property, plant and equipment, such that the fair value of property, plant and equipment reflects the benefit of permits in place, architect and engineering fees, freight, tax, installation and other direct and indirect costs incurred.

This premise assumes that each of the assets will continue to be used as is and as part of the ongoing business in connection with other assets.

To determine the value of plant and equipment, a replacement cost methodology is typically applied, which relies upon identifying a direct replacement cost associated with replacing assets with new assets, and incorporates estimates of obsolescence, and depreciation based on economic useful lives.

These estimations are based on management’s historical experience, the use of third-party experts and available market and industry data.

For the valuation of land, we engage third-party valuation experts.

While we believe these assumptions and estimates are reasonable, they are inherently uncertain.

We may adjust the amounts recognized in an acquisition during a measurement period after the acquisition date.

Any such adjustments are the result of subsequently obtaining additional information that existed at the acquisition date regarding the assets acquired or the liabilities assumed.

Measurement period adjustments are generally recorded as increases or decreases to goodwill, if any, recognized in the transaction.

The cumulative impact of measurement period adjustments on depreciation, amortization and other income statement items are recognized in the period the adjustment is determined.

The measurement period ends once we have obtained all necessary information that existed as of the acquisition date but does not extend beyond one year from the acquisition date.

Any adjustments to assets acquired or liabilities assumed beyond the measurement period, unless as a result of an error, are recorded through earnings.

For additional information about business combinations and purchase price allocations, including details of provisional purchase price allocations at the balance sheet date, see Note 4 “Acquisitions” in Item 8.

“Financial Statements and Supplementary Data”.

CRH Form 10-K 47

Accounting Developments And Changes

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Guarantor financial information

As of December 31, 2023, CRH plc (the ‘Guarantor’) has fully and unconditionally guaranteed registered debt securities issued by CRH America, Inc.

(the ‘Issuer’), comprising a U.S.

$300 million 6.40% Notes due 2033 – listed on NYSE (i) (the ‘Notes’).

(i) Originally issued as a U.S.

$300 million bond in September 2003.

Subsequently in August 2009 and December 2010, $87 million of the issued Notes were acquired by CRH plc as part of liability management exercises.

On December 29, 2023, the Notes were delisted from Euronext Dublin and relisted on NYSE under the symbol CRH/33A.

CRH America, Inc.

is 100% owned by the Company (CRH plc).

The Notes are fully and unconditionally guaranteed by CRH plc as defined in the indentures governing the Notes.

The Notes are unsecured and rank equally with all other present and future unsecured and unsubordinated obligations of CRH America, Inc and CRH plc, subject to exceptions for obligations required by law.

The guarantee is a full, irrevocable and unconditional guarantee of the principal, interest, premium, if any, and any other amounts payable in respect of the Notes given by CRH plc.

As of December 31, 2024, CRH plc (the 'Guarantor') has fully and unconditionally guaranteed $300 million 6.400% Senior Notes due 2033 (i) (the '6.400% Notes') issued by CRH America, Inc.

(CRH America), $750 million 5.200% Senior Notes due 2029 (the '5.200% Notes') issued by CRH SMW Finance Designated Activity Company (SMW Finance) and $750 million 5.400% Senior Notes due 2034 (the '5.400% Notes') issued by CRH America Finance, Inc.

(America Finance), and together with the 6.400% Notes and the 5.200% Notes, (the 'Notes') and together with CRH America and SMW Finance (the 'Issuers').

The Issuers are each 100% owned by CRH plc, directly or indirectly.

SMW Finance is an indirect wholly-owned finance subsidiary of CRH plc incorporated under the laws of Ireland and is a financing vehicle for CRH’s group companies.

America Finance is an indirect wholly-owned finance subsidiary of CRH plc incorporated under the laws of the State of Delaware and is a financing vehicle for CRH’s U.S.

operating companies.

Each series of Notes is unsecured and ranks equally with all other present and future unsecured and unsubordinated obligations of the relevant Issuer and CRH plc, subject to exceptions for obligations required by law.

Each series of Notes is fully and unconditionally guaranteed by CRH plc as defined in the respective indenture governing each series of Notes.

Each guarantee is a full, irrevocable, and unconditional guarantee of the principal, interest, premium, if any, and any other amounts due in respect of the relevant series of Notes given by CRH plc.

(i) Originally issued in September 2003 as $300 million 6.400% Senior Notes due 2033.

CRH subsequently acquired $87 million of the 6.400% Notes in liability management exercises in August 2009 and December 2010.

Basis of presentation

The following summarized financial information reflects, on a combined basis, the Balance Sheet as of December 31, 2023 and the Income Statement for the year ended December 31, 2023 of CRH America, Inc.

and CRH plc, which guarantees the registered debt;

The following summarized financial information reflects, on a combined basis, the Balance Sheet as of December 31, 2024, and the Income Statement for the year ended December 31, 2024, of CRH America and CRH plc, which guarantees the registered debt;

collectively the ‘Obligor Group’.

2 unchanged sentences

Intercompany receivables/payables and transactions with non-obligor subsidiaries are separately disclosed as applicable.

This summarized financial information has been prepared and presented pursuant to the Securities and Exchange Commission Regulation S-X Rule 13-01 and is not intended to present the financial position and results of operations of the Obligor Group in accordance with U.S.

This summarized financial information has been prepared and presented pursuant to Regulation S-X Rule 13-01 and is not intended to present the financial position and results of operations of the Obligor Group in accordance with U.S.

CRH Form 10-K 48

The summarized Income Statement information for the year ended December 31, 2023 is as follows:

The summarized Income Statement information is as follows:

in $ millions For the year ended December 31, 2024

4 unchanged sentences

(i) Revenue and Gross Profit for the Obligor Group for the year ended December 31, 2024, amounted to $nil.

The summarized Balance Sheet information as of December 31, 2023 is as follows:

The summarized Balance Sheet information is as follows:

As of December 31, 2024

6 unchanged sentences

Noncurrent liabilities 758

Noncurrent liabilities – of which is due to non-obligor subsidiaries –

CRH Form 10-K 49

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 7. Management’s Discussion and Analysis