Heidelberg Materials Q1 profit helped by cost cuts, lower energy bill
Adds sales in paragraph 3, CEO comment in paragraph 4, outlook in paragraph 5
FRANKFURT, May 7 (Reuters) -Heidelberg Materials HEIG.DE, the world's No.2 cement maker, posted better-than-expected operating profit in the first quarter, helped by cost cuts and lower energy prices that offset weaker construction activity in Europe.
The group's first-quarter result from current operations (RCO) fell 10% to 232 million euros ($250 million), beating the 223 million forecast in a company-provided poll.
Sales for the period fell 8% to 4.49 billion euros, below the 4.78 billion forecast, as the company cited poor weather conditions and fewer working days that had an impact on results.
"Despite declining revenues compared to a strong prior-year quarter, we have further increased our profitability. This was in particular due to the very good start to the year in North America and strict cost management," Chief Executive Dominik von Achten said.
The group therefore confirmed its full-year outlook, forecasting a return on invested capital of around 10% and RCO of 3.0 billion to 3.3 billion euros, compared with a 3.2 billion poll estimate.
($1 = 0.9290 euros)
Reporting by Christoph Steitz, editing by Kirsti Knolle
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