The Pro Forma Financial Information for the year ended December 31, 2015 reflects the merger of Holcim and Lafarge as if the Merger had occurred on January 1, 2015.
It reflects a hypothetical situation and is presented exclusively for illustrative purposes, as such it does not provide an indication of the results of operating activities that would have been obtained for the period ended on December 31, 2015.
North America benefits from solid results in the United States and Eastern Canada
LafargeHolcim posted solid results in North America as a result of both the continuing recovery in the United States and successful price management and cost optimization. Cement and aggregate volumes increased despite reduced demand in regions such as Western Canada, Texas, Oklahoma, and the Dakotas, where oil and commodity investments were under pressure. Financial performance increased markedly thanks mainly to the United States and an overachievement in synergy realization.
Economic and construction industry development
After a slow start due to extreme winter weather conditions, the economy in the United States gained momentum throughout the year on the back of resilient private consumption, rising employment, and steady income growth. Although housing indicators remained mixed, residential investment saw solid growth throughout the year. Public investment and rising residential purchases contributed to heightened demand for cement. The year concluded with the Federal Reserve’s historic decision to moderately raise interest rates, demonstrating policy-makers’ confidence in the recovery of the world’s largest economy.
After solid growth in 2014, the Canadian economy faced headwinds in the year under review, experiencing the impact of exposure to depreciating global commodity and oil prices besides weakened investment in the west. In several provinces labor market conditions remained favorable and household spending proved resilient. Despite external challenges, Canada’s newly elected liberal government made infrastructure spending a priority. The housing market remained generally buoyant throughout the year.