Ready-mix concrete and others

Profile

Concrete is the world’s second most consumed good by volume after water. One cubic meter consists of approximately 300 kilograms of cement, 150 liters of water, and two tonnes of aggregates. Ready-mix concrete is one of the largest markets for the cement and aggregates industries.

Buyers of ready-mix concrete are typically construction and public works contractors, ranging from major multinational corporations to small-scale customers. LafargeHolcim works to set itself apart based on the quality and consistency of its products, the breadth of its portfolio and, especially, the innovative solutions developed by its Research Center. These include ultra-high-performance fiber-reinforced concrete, self-filling and self-leveling concrete, architectural concrete, insulating concrete, pervious concrete, and other types of concrete.

The ready-mix concrete industry is less capital intensive than the cement industry. It is also highly decentralized, since concrete is a heavy product that must be delivered quickly, requiring that production facilities be near the place of use. Only very large integrated corporations such as LafargeHolcim that produce both cement and aggregates have succeeded in establishing an international presence in this market. The competition consists mainly of independent, local operators.

Asphalt is a bituminous construction material used primarily for road paving. It consists mainly of aggregates of differing grain size. Generally speaking, asphalt is sold directly by the asphalt producer to the customer, with only very limited use of intermediate distributors or agents, since prompt and reliable delivery is essential.

Consolidated key figures for ready-mix concrete in 2015

 

2015

1

Includes all other construction materials and services

Ready-mix concrete plants

1,577

Sales of ready-mix concrete in million m3

56.8

Net sales in million CHF

5,618

Operating EBITDA in million CHF

47

Personnel1

23,570

Developments

Sales of ready-mix concretein million m3
Key figures – Sales of ready-mix concrete (bar chart)Key figures – Sales of ready-mix concrete (bar chart)

Ready-mix concrete volumes decreased 1.4 percent to 56.8 million cubic meters in 2015. Higher deliveries in India, Romania, the United Kingdom, Poland, and Mexico partly compensated for declines in Brazil, the United States, France, and in other markets. Europe reported a slight increase in volumes, while ready-mix concrete deliveries in Asia Pacific were nearly unchanged. Shipments in Latin America, Middle East Africa, and North America were lower.