Saint-Gobain reaches unprecedented levels -March 01, 2024 at 08:36 am EST

(MT Newswires) -- Saint-Gobain, under the leadership of CEO Benoît Bazin, is moving forward with confidence despite a downturn in the construction and renovation market for new homes and offices. In 2023, the company will post record figures, with operating margin and cash flow at unprecedented levels, surpassing its targets. Despite a sustained slowdown in the new construction sector, which accounts for only 12% of total sales, Saint-Gobain is proving the resilience of its business model, thanks in particular to a robust renovation sector representing 60% of its business in Europe.

Bazin's positive forecast for 2024 and its consistent performance over the past four years, with an expected double-digit margin, demonstrates the company's faith in its ability to navigate a European market facing negative volumes. This confidence is based on solid foundations, with two-thirds of Saint-Gobain généribusinessisis profit coming from North America, Asia and emerging markets, attesting to a successful transformation and adaptation to the situation.

Growth remains the watchword worldwide, despite temporarily weaker stock market action, which Bazin interprets as a temporary misunderstanding on the part of analysts regarding confidence in margins and readjusted costs. Saint-Gobain is continuing its expansion drive, notably through its recent Australian acquisition and an increased presence in North America and emerging markets through multiple acquisitions, underlining a constant focus on value creation.

The CEO reiterates his commitment to a value strategy accompanied by prudent management of the asset portfolio, with acquisitions focused in particular on the construction chemicals segment. The company is entering a period of strategic readjustment, with targeted divestments and integrations designed to make a positive contribution to the company's development in terms of geographical reach and product offering.

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