Q1 2022 - Trading Statement

Vienna – In the first three months of 2022, Wienerberger achieved a very strong increase in revenues and earnings. Such developments were supported by sustained high demand across all our markets, the successful implementation of our pro-active pricing policy and our continuous efforts regarding performance enhancement measures. Wienerberger’s forward buying policy with respect to energy and the continuous availability of raw materials contributed positively to this strong performance. All this continues to underpin our 2022 EBITDA guidance of € 750 – 770 million.

We recorded highly satisfactory growth of revenues and earnings in all our business units, especially in North America. For the Wienerberger Building Solutions Business Unit, the Ukraine conflict and the resultant growing instability meant that some customers purchased products earlier than originally planned. We remain optimistic regarding the further development of volumes and prices in the second quarter of 2022. The Wienerberger Piping Solutions Business Unit recorded significantly increased input costs, but at the same time the tension along the supply chain eased and the availability of plastic granulates was secured. Thanks to our proactive pricing policy, we were able to generate a satisfactory margin level also in this segment.

Overall, we expect an increase in revenues of 44% to approx. € 1,150 million (Q1 2021: € 797 million) and an increase in EBITDA reported of 112% to approx. € 225 million (Q1 2021: € 106 million) in the first quarter of 2022.

For the second quarter of 2022, we expect to see a further increase in demand for our solutions, which we meet with our operations running at full capacity.

Energy prices in the spot market have increased substantially, and we do not expect to see prices drop in the short term. We are making every effort to offset rising cost inflation through price increases already implemented. With respect to the energy supply, in particular natural gas, we have secured 89% of the gas volume needed by the entire Wienerberger Group in 2022.

Despite some speculation, the volume of gas delivered to Europe in the first quarter of 2022 was higher than in the first quarter of the previous year. At this point we have no reason to believe that there will not be sufficient gas available in Europe for the second quarter of the year. We have, however, elaborated contingency plans to be prepared for the exceptional situation of limited availability of gas in Central and Eastern Europe, which are being adapted at short notice to the change in local circumstances.

At Wienerberger, we are currently operating in a strong market environment. We are therefore intensifying the further expansion of our activities, especially in the fields of renovation, and adding innovative system solutions to our product portfolio. Moreover, we are continuing our investment program aimed at the conversion of production facilities to sustainable energy sources. 

We recorded highly satisfactory results in the first quarter of 2022 and already implemented proactive measures for the second quarter of 2022. The current geopolitical instability with all its potential effects on the global economy make an estimate for the second half of 2022 extremely difficult. Therefore, we maintain our guidance for the full year 2022 within an EBITDA range of € 750 – 770 million.

Wienerberger will publish the final results of the first quarter of 2022 on May 12, 2022.