Saint-Gobain says its consolidated sales for the first quarter of 2015 were flat at EUR9.85bn (US$10.8bn), compared with EUR9.87bn in the same period year ago.
“Our figures for the first quarter are in line with our forecasts, given the tough basis for comparison,” said Saint Gobain chairman and CEO, Pierre-Andre de Chalendar.
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“Over the rest of the year, we expect to see a gradual improvement, particularly in Germany and in roofing in the US. Construction markets in France will remain challenging in 2015.
“In this setting and thanks to our ongoing cost cutting programme, we can confirm our objective of a further like-for-like improvement in operating income.”
The group confirms its action plan priorities: (2015 outlook)
- Keep its priority focus on increasing sales prices amid a small rise in raw material costs and energy deflation;
- Unlock additional savings of EUR400m (calculated on the 2014 cost base) thanks to its ongoing cost cutting programme;
- Pursue a capital expenditure programme of less than EUR1.6bn;
- Renew its commitment to invest in R&D in order to support its differentiated, high value-added strategy;
- Pursue the divestment of Verallia, which is continuing as planned with offers expected in second-quarter 2015
- Pursue its plan to acquire a controlling interest in Sika.
In this context, Saint-Gobain expects a further like-for-like improvement in operating income for 2015 and a continuing high level of free cash flow.
