Holcim unlocks value with NextGen Growth 2030

Holcim announces its new strategy - NextGen Growth 2030 - to be the leading partner for sustainable construction, following the planned listing of its North American business. With NextGen Growth 2030, Holcim will leverage its sustainability leadership to deliver profitable growth in Europe, Australia and North Africa, while accelerating growth in Latin America to benefit from strong market fundamentals and industrialisation trends. Holcim will grow its addressable markets by expanding in high-value Building Solutions, from building systems to high-performance concrete. NextGen Growth 2030 will drive shareholder value with growth-focused capital allocation and value-accretive M&A.

Miljan Gutovic, CEO of Holcim: “Holcim is best positioned through NextGen Growth 2030 to benefit from the powerful megatrends shaping the future of construction, from urbanisation to energy-efficient refurbishment. Expanding high-value Building Solutions is a key part of Holcim’s transformation. With this new strategy, we are unlocking significant growth opportunities to drive shareholder value.”

Holcim has a proven track record of growth and value creation. In 2024, Holcim in its post spin-off structure excluding North America reached net sales of CHF 16.3 billion, an industry-leading recurring EBIT margin of 17.4% and free cash flow before leases of CHF 2.2 billion. Since 2018, Holcim in its post spin-off structure has closed 91 value-accretive deals to optimise its portfolio.

NextGen Growth 2030 has four strategic drivers:

Focused investment in attractive markets

With established leadership positions in key markets, Holcim will accelerate growth through organic investments and value-accretive M&A. Holcim will benefit from increasing demand for its sustainable offering in Europe, and is best positioned to capture growth from industrialisation trends and demand for mega construction projects in Latin America. In Asia, Middle East & Africa, Holcim will benefit from the strong growth fundamentals in its markets.

Sustainability driving profitable growth

Sustainability will advance net sales and margin expansion, as Holcim scales up its sustainable offering tailored to customer demand with ECOPact and ECOPlanet. Holcim is best positioned to accelerate circular construction, with its well-established footprint in metropolitan areas and its circular technology ECOCycle®, and is targeting more than 20 million t of recycled construction demolition materials in 2030. It will invest and further innovate to accelerate decarbonisation.

Expanding high-value Building Solutions

Holcim will expand its high-value Building Solutions, from foundation and flooring to walling and roofing systems. It will grow its addressable market by leveraging new sales channels, amplifying synergies, and through organic investments and value-accretive M&A. Holcim’s energy-efficient building systems will capture growing demand for repair and refurbishment solutions.

Performance culture and value creation

Holcim’s deeply embedded performance culture stems from a decentralised and lean business model that can swiftly adapt to market opportunities. Holcim post spin-off will have over 450 empowered local P&L leaders across its three regions. With a total estimated capital deployment capacity of CHF 18 – 22 billion from 2025 to 2030, Holcim will invest in organic growth and value-accretive M&A with attractive and progressive dividends. Excess capital will be allocated to large strategic acquisitions and opportunistic share buybacks.

Read the article online at: https://www.worldcement.com/asia-pacific-rim/28032025/holcim-unlocks-value-with-nextgen-growth-2030/