Investing.com -- Saint-Gobain (EPA:SGOBp) reported a 2% year-over-year decline in like-for-like sales for the third quarter of 2024 amid negative pricing and dropping volumes.
Sales for the first nine months fell 3.9%. The company's third-quarter revenue performance was driven by growth in the Americas, Asia-Pacific, and High Performance Solutions segments, offset by persistent weakness in Europe's new construction markets, especially in France.
Total reported sales for the quarter at the construction materials producer stood at 11.6 billion euros, unchanged from last year, despite a negative currency impact of 1.3%. Analysts at Citi said the figure was broadly in line with estimates.
Saint-Gobain highlighted that recent acquisitions in North America, Asia-Pacific, and construction chemicals contributed positively, with a 3.4% structure impact.
However, the company noted that macroeconomic challenges and lower consumer confidence weighed on sales.
Looking ahead, the company stated: "As anticipated, Saint-Gobain expects some of its markets to remain difficult over 2024 overall, with weakness in new construction and resilience in renovation in Europe, and good levels of activity in the Americas, Asia-Pacific and High Performance Solutions."
Despite this, the company forecasts a further increase in operating margin, citing its "disciplined execution" and leadership in sustainable construction as key drivers.
Shares in Saint-Gobain were slightly higher in early afternoon trading in Paris on Wednesday.
(Sam Boughedda contributed reporting.)