Revenue

3 Months Ended

Mar. 31, 2024

Revenue from Contract with Customer [Abstract]

Revenue

2. Revenue

The Company disaggregates revenue based on its operating and reportable segments. The Company’s reportable segments are: (1) Americas Materials Solutions, (2) Americas Building Solutions, (3) Europe Materials Solutions, and (4) Europe Building Solutions.

Revenue is disaggregated by principal activities and products. Business lines are reviewed and evaluated as follows: (1) Essential Materials, (2) Road Solutions, (3) Building & Infrastructure Solutions, and (4) Outdoor Living Solutions.

The vertically integrated Essential Materials businesses manufacture and supply aggregates and cement for use in a range of construction and industrial applications.

Road Solutions support the manufacturing, installation and maintenance of public highway infrastructure projects and commercial infrastructure.

Building & Infrastructure Solutions connect, protect and transport critical water, energy and telecommunications infrastructure and deliver complex commercial building projects.

Outdoor Living Solutions integrate specialized materials, products and design features to enhance the quality of private and public spaces.

	Three months ended March 31, 2024
in $ millions	Americas Materials Solutions	Americas Building Solutions	Europe Materials Solutions	Europe Building Solutions	Total
Principal activities and products
Essential Materials	903	-	990	-	1,893
Road Solutions (i)	1,299	-	1,023	-	2,322
Building & Infrastructure Solutions (ii)	-	548	-	493	1,041
Outdoor Living Solutions	-	1,145	-	132	1,277
Total revenues	2,202	1,693	2,013	625	6,533

	Three months ended March 31, 2023
in $ millions	Americas Materials Solutions	Americas Building Solutions	Europe Materials Solutions	Europe Building Solutions	Total
Principal activities and products
Essential Materials	807	-	1,097	-	1,904
Road Solutions (i)	1,088	-	1,081	-	2,169
Building & Infrastructure Solutions (ii)	-	569	-	563	1,132
Outdoor Living Solutions	-	1,092	-	130	1,222
Total revenues	1,895	1,661	2,178	693	6,427

(i)     Revenue from contracts with customers in the Road Solutions principal activities and products category that is recognized over time for the three months ended March 31 were:

in $ millions	2024	2023
Americas Materials Solutions	596	495
Europe Materials Solutions	414	429
Total revenue from contracts with customers	1,010	924

(ii) Revenue from contracts with customers in the Building & Infrastructure Solutions principal activities and products category that is recognized over time for     
the three months ended March 31 were:

in $ millions	2024	2023
Americas Building Solutions	23	16
Europe Building Solutions	132	149
Total revenue from contracts with customers	155	165

Contract assets were $637 million, $716 million and $622 million and contract liabilities were $430 million, $439 million and $337 million, at March 31, 2024, December 31, 2023 and March 31, 2023, respectively. The decrease in contract assets during the three months ended March 31, 2024 was primarily attributed to the timing of billings and retentions received. The decrease in contract liabilities during the three months ended March 31, 2024 was due to the timing of billings in excess of revenue recognized. The Company recognized revenue of $265 million and $191 million for the three months ended March 31, 2024, and March 31, 2023, respectively, which was previously included in the contract liability balance at December 31, 2023 and December 31, 2022, respectively.

Contract assets include unbilled revenue and retentions held by customers in respect of construction contracts at March 31, 2024, December 31, 2023 and March 31, 2023 amounting to $416 million and $221 million, $471 million and $245 million, and $449 million and $173 million, respectively. Unbilled receivables represent the estimated value of unbilled work for projects with performance obligations recognized over time. Retentions represent amounts that have been billed to customers but payment is withheld until final acceptance of the performance obligation by the customer. Retentions that have been billed, but are not due until completion of performance and acceptance by customers, are generally expected to be collected within one year. The Company applies the practical expedient and does not adjust any of its transaction prices for the time value of money.

On March 31, 2024, the Company had $4,385 million of transaction price allocated to remaining performance obligations. The majority of open contracts at March 31, 2024 will close and revenue will be recognized within 12 months of the balance sheet date.