$CRH · CRH PUBLIC LTD CO
CRH reported Q3 2026 results with total revenues of $11.4B (+3% YoY) and net income of $1.2B (-22% YoY). Adjusted EBITDA was flat at $2.7B. The company cut FY26 Adjusted EBITDA guidance to $7.8B-$8.0B from a prior midpoint of $8.3B and FY26 Net Income guidance to $3.1B-$3.3B from a prior $4.0B midpoint. CRH also announced a new $6B share buyback program, completed the $8.5B Arcosa acquisition, and launched a Velocity transformation initiative targeting $400M in annual run-rate savings by end of 2028.
- Q3 net income fell 22% YoY to $1.2B, with net income margin contracting 330bps to 10.4%
- FY26 Adjusted EBITDA guidance cut to $7.8B-$8.0B from prior midpoint of $8.3B; FY26 Net Income guided to $3.1B-$3.3B vs prior $4.0B midpoint
- Diluted EPS of $1.86 missed prior-year $2.21; pre-impairment EPS of $2.09 was down 8% YoY
- Board authorized new $6B share buyback program expiring end of 2030; quarterly dividend raised 5% to $0.39/share
- Completed $8.5B Arcosa acquisition on Oct 23, 2026; launched Velocity transformation targeting $400M annual run-rate benefits by end of 2028
Extended-hours trading shows CRH at $82.40, down 4.78% vs the regular close of $86.54 — the guidance cut and earnings miss are driving a sharp negative reaction in after-hours.
A $57B building-materials leader cutting FY26 profit guidance by ~20% at the midpoint while simultaneously announcing a $6B buyback and closing an $8.5B acquisition creates a complex capital-allocation narrative that demands investor scrutiny.
CRH's margin compression and guidance cut echo broader building-materials sector headwinds: persistent cost inflation and subdued residential demand. The Arcosa deal and Velocity program signal an aggressive pivot toward infrastructure and operational efficiency to offset cyclical weakness.
$178M impairment charge in the Philippines reporting unit signals ongoing International Solutions weakness. The $8.5B Arcosa acquisition adds $5.8B in incremental debt via term loan and bridge facilities, pushing total debt to $19.6B and Net Debt to $15.0B — leverage risk is elevated heading into FY27.