Saint-Gobain Plans Buyback Despite Lower Net Profit, Sales

By Adria Calatayud

Saint-Gobain said it plans a share buyback of 420 million euros ($455.3 million) in 2024, but reported a fall net profit for last year as higher profitability couldn't offset lower sales.

Net profit for last year was EUR2.67 billion compared with EUR3.00 billion a year before, the French construction-materials company said Thursday.

Sales fell to EUR47.94 billion from EUR51.20 billion, hurt by lower volumes. Sales were down 0.9% on a like-for-like basis, the company said.

Operating profit fell 1.6% to EUR5.25 billion, with a margin that expanded to 11.0% from 10.4%.

Analysts polled by FactSet expected Saint-Gobain to report an operating profit of EUR5.16 billion on revenue of EUR48.05 billion.

For 2024, the company said it expects an operating margin in the double percentage digits.

The board proposed a dividend of EUR2.10 a share, up from EUR2.00 a year before, and said its planned EUR420 million in buybacks mean a five-year program of EUR2 billion will be completed one year earlier than expected.

Write to Adria Calatayud at adria.calatayud@wsj.com

(END) Dow Jones Newswires

February 29, 2024 12:45 ET (17:45 GMT)

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