Acquisitions

12 Months Ended

Dec. 31, 2025

Business Combination, Asset Acquisition, Transaction between Entities under Common Control, and Joint Venture Formation [Abstract]

Acquisitions

3. Acquisitions

The Company strategically acquires companies in order to increase its footprint and offer products and services that diversify its existing offerings. These acquisitions are accounted for as business combinations using the acquisition method, whereby the purchase price is allocated to the assets acquired and liabilities assumed, based on their estimated fair values at the date of the acquisition, with the remaining amount recorded in Goodwill.

On September 15, 2025 the Company acquired Eco Material, a leading supplier of supplementary cementitious materials headquartered in South Jordan, Utah for a total consideration, net of cash acquired, of $2,066 million. The Eco Material acquisition is reported in the Americas Materials Solutions segment. Due to the size and scale of Eco Material, the determination of the fair values of identifiable assets acquired and liabilities assumed as disclosed are provisional.

During 2025, the Company completed the acquisition of 37 other companies in addition to Eco Material. The total cash consideration for these acquisitions, net of cash acquired, was $1,790 million.

The provisional amounts for assets acquired, liabilities assumed, and consideration related to the acquisitions during the year ended December 31, 2025, including measurement period adjustments to provisional fair values in respect of acquisitions completed in the previous period, were:

in $ millions	Eco Material (i)	Other acquisitions (i) (ii)	Total
Identifiable assets acquired and liabilities assumed
Assets
Cash and cash equivalents	23	37	60
Accounts receivable, net	153	218	371
Inventories	32	93	125
Other current assets	22	8	30
Property, plant and equipment, net	647	1,302	1,949
Equity method investments	–	(49)	(49)
Intangible assets, net	789	123	912
Operating lease right-of-use assets, net	63	58	121
Total assets	1,729	1,790	3,519
Liabilities
Accounts payable	49	118	167
Accrued expenses	55	38	93
Operating lease liabilities	62	58	120
Long-term debt	–	159	159
Deferred income tax liabilities	108	25	133
Other liabilities	141	173	314
Total liabilities	415	571	986
Total identifiable net assets at fair value	1,314	1,219	2,533
Goodwill	775	1,045	1,820
Equity method investments becoming subsidiaries	–	(233)	(233)
Redeemable noncontrolling interests	–	(17)	(17)
Noncontrolling interests	–	(7)	(7)
Total consideration	2,089	2,007	4,096
Consideration satisfied by:
Cash payments	2,089	1,827	3,916
Non-cash consideration	–	109	109
Profit on step acquisition	–	40	40
Deferred consideration (stated at net present cost)	–	12	12
Contingent consideration	–	19	19
Total consideration	2,089	2,007	4,096
Acquisitions of businesses, net of cash acquired
Cash consideration	2,089	1,827	3,916
Less: cash and cash equivalents acquired	(23)	(37)	(60)
Total outflow in the Consolidated Statements of Cash Flows	2,066	1,790	3,856

(i)The estimated fair values of assets acquired and liabilities assumed associated with these acquisitions are provisional (principally in respect of Property, plant and equipment, net, Intangible assets, net, provisions for liabilities and the associated goodwill and deferred tax aspects) and are based on the information that was available as of the reporting date. The Company expects to finalize the valuation and complete the purchase price allocations as soon as practical but no later than one year from the acquisition dates.

(ii)    Acquisitions are aggregated on the basis of individual immateriality. The acquisition balance sheet presented in this note reflects the identifiable net assets acquired in respect of acquisitions completed in the year ended December 31, 2025, together with measurement period adjustments to provisional fair values in respect of acquisitions completed during previous periods; none of which were material.

As a result of the acquisitions completed through December 31, 2025, including adjustments to provisional values, the Company recognized $912 million of amortizable intangible assets and $1,820 million of goodwill. Goodwill represents the excess of the consideration paid over the fair value of net assets acquired and includes the expected benefit of cost savings and synergies within the Company’s segments and intangible assets that do not qualify for separate recognition. Of the goodwill recognized in respect of the acquisitions completed in 2025, $1,332 million is expected to be deductible for tax purposes. The amortizable intangible assets will be amortized against earnings over a weighted average of 18 years.

On February 9, 2024, the Company wholly acquired a portfolio of cement and readymixed concrete operations and assets in Texas, United States (the 'Hunter' acquisition) for a total cash consideration, net of cash acquired, of $2,106 million. The Hunter acquisition is reported in the Americas Materials Solutions segment.

On July 1, 2024, the Company acquired 57% of the issued share capital of Adbri (the 'Adbri' acquisition), a construction materials business in Australia, for a total cash consideration, net of cash acquired, of $787 million. The Adbri acquisition is reported in the International Solutions segment.

During 2024, the Company completed the acquisition of 38 other companies in addition to Hunter and Adbri. The total cash consideration for these acquisitions, net of cash acquired, was $2,007 million.

The amounts for assets acquired, liabilities assumed, and consideration related to the acquisitions during the year ended December 31, 2024, were:

in $ millions	Hunter	Adbri	Other acquisitions (i)	Total
Identifiable assets acquired and liabilities assumed
Assets
Cash and cash equivalents	–	15	38	53
Accounts receivable, net	–	156	152	308
Inventories	70	133	149	352
Other current assets	2	6	8	16
Property, plant and equipment, net	1,069	1,364	850	3,283
Equity method investments	–	366	–	366
Intangible assets, net	2	4	184	190
Operating lease right-of-use assets, net	12	18	85	115
Total assets	1,155	2,062	1,466	4,683
Liabilities
Accounts payable	–	17	54	71
Accrued expenses	6	67	30	103
Operating lease liabilities	12	18	85	115
Long-term debt	–	519	9	528
Deferred income tax liabilities	–	208	27	235
Other liabilities	8	151	57	216
Total liabilities	26	980	262	1,268
Total identifiable net assets at fair value	1,129	1,082	1,204	3,415
Goodwill	977	227	940	2,144
Redeemable noncontrolling interests	–	–	(12)	(12)
Noncontrolling interests	–	(507)	–	(507)
Total consideration	2,106	802	2,132	5,040
Consideration satisfied by:
Cash payments	2,106	802	2,045	4,953
Asset exchange	–	–	41	41
Deferred consideration (stated at net present cost)	–	–	27	27
Contingent consideration	–	–	19	19
Total consideration	2,106	802	2,132	5,040
Acquisitions of businesses, net of cash acquired
Cash consideration	2,106	802	2,045	4,953
Less: cash and cash equivalents acquired	–	(15)	(38)	(53)
Total outflow in the Consolidated Statements of Cash Flows	2,106	787	2,007	4,900

(i)    Other acquisitions are aggregated on the basis of individual immateriality.

As a result of the 2024 acquisitions, the Company recognized $190 million of amortizable intangible assets and $2,144 million of goodwill. Goodwill represents the excess of the consideration paid over the fair value of net assets acquired and includes the expected benefit of cost savings and synergies within the Company’s segments and intangible assets that do not qualify for separate recognition. Of the goodwill recognized in respect of the acquisitions completed in 2024, $1,712 million is expected to be deductible for tax purposes. The amortizable intangible assets will be amortized against earnings over a weighted average of nine years.

Acquisition-related costs

Acquisition-related costs have been included in Selling, general and administrative expenses in the Consolidated Statements of Income. These costs include legal and consulting expenses incurred in connection with completed acquisitions. The Company incurred the following acquisition-related costs for the years ended December 31:

in $ millions	2025	2024	2023
Acquisition-related costs
Substantial acquisition-related (i)	45	46	–
Other acquisitions	33	27	10
Total acquisition-related costs	78	73	10

(i) Represents expenses associated with the non-routine substantial acquisition of Eco Material as well as other acquisition costs of an extraordinary nature. The comparative periods presented include expenses related to the acquisition of Adbri and Hunter in 2024.

For the period from acquisition date through December 31, 2025, 2024, and 2023, acquisitions contributed $755 million, $1,387 million and $228 million to Total revenues and a loss of $10 million, $23 million and $15 million to Net income attributable to CRH, excluding substantial acquisition-related costs that arose in that period and including the effect of interest expense to finance the acquisitions, respectively.

Pro forma results of operations for the current year acquisitions, as if they were combined as of January 1, 2024, have not been presented because they are not material to the Consolidated Financial Statements.