Variable interest entities

12 Months Ended

Dec. 31, 2025

Organization, Consolidation and Presentation of Financial Statements [Abstract]

21. Variable interest entities

The Company’s operations in the Philippines are conducted through a Variable Interest Entity (VIE), wherein the Company holds 40% of the equity share capital and a 55% share of earnings and distributions. The remaining noncontrolling interest of 60% equity share capital and 45% share of earnings and distributions is held by an unrelated party. The Company’s voting rights are not proportional to its share of earnings and distributions, and substantially all of the activities of the Philippines business are conducted on behalf of the Company and controlled by the Company through contractual relationships. The Philippines business meets the definition of a VIE for which the Company is the primary beneficiary and, therefore, is consolidated.

Further, the Company has provided subordinated debt to the intermediate parent of the Philippines business which exposes the Company to the profits and losses of the Philippines business. The debt is repayable only where the shareholder agreement of the intermediate parent of the Philippines business is terminated or where the Company transfers its shares in the intermediate parent to an unrelated entity (i.e. the debt exposure of the Company becomes in substance a residual interest in the intermediate parent).

The carrying amounts of assets and liabilities of the consolidated VIE, reported within the Consolidated Balance Sheets before intragroup eliminations with other CRH companies as of December 31 were:


in $ millions	2025	2024
Assets
Current assets:
Cash and cash equivalents	40	21
Accounts receivable, net	42	38
Inventories	81	96
Other current assets	39	58
Total current assets	202	213
Property, plant and equipment, net	793	846
Goodwill	187	190
Intangible assets, net	–	1
Operating lease right-of-use assets, net	4	5
Other noncurrent assets	9	9
Total assets	1,195	1,264
Liabilities
Current liabilities:
Accounts payable	119	106
Accrued expenses	33	44
Current portion of long-term debt	13	33
Operating lease liabilities	1	1
Other current liabilities	21	25
Total current liabilities	187	209
Long-term debt	377	345
Deferred income tax liabilities	89	94
Noncurrent operating lease liabilities	3	4
Other noncurrent liabilities	21	21
Total liabilities	677	673

The operating results of the consolidated VIE, reported within the Consolidated Statements of Income and Consolidated Statements of Cash Flows before intragroup eliminations with other CRH companies for the years ended December 31 were:


in $ millions	2025	2024	2023
Total revenues	310	359	446
Total cost of revenues	(315)	(339)	(416)
Gross (loss) profit	(5)	20	30
Net loss	(64)	(40)	(325)

Net cash provided by operating activities	9	10	24