Saint-Gobain sees "encouraging" signs of recovery for construction in France

Saint-Gobain sees "encouraging" leading indicators for the recovery of the construction sector in France, its historic market, the materials giant announced on Thursday, April 24, along with a 3,2% increase in its sales in the first quarter of 1.

From January to March, the group's turnover amounted to 11,7 billion euros, an increase of 3,2%, driven by growth in the American market, Northern Europe and Asia-Pacific, while its sales fell by 5% in Southern Europe, its largest market which includes France in its geographical distribution.

After three years of a crisis in new construction in France, the group nevertheless believes that a "low point" has been reached in the fourth quarter of 4, according to the press release released Thursday.

"The recent increase in the number of real estate transactions in existing housing, the increase in outstanding loans and the beginnings of a recovery in housing construction starts" in France constitute "encouraging leading indicators," according to the group.

In Germany, the adoption of a massive recovery plan "constitutes a positive outlook for the country but also for the whole of Europe."

The same cautious optimism about the impact of the trade war launched by the United States: Saint-Gobain, a group which owns some 900 factories worldwide producing plasterboard, insulation and other materials, "benefits from a very local economic model, protected from the impact of customs tariffs," the press release underlines.

With 58 factories in the United States and 33 in Canada to serve local construction markets, Saint-Gobain considers itself "very well positioned" to "continue to outperform" on this continent where it develops products resistant to climatic hazards, notably fire-resistant plasterboards for the non-residential market, or even resistant reinforced roofing technologies "meeting the recommendations of insurance companies."

"In a contrasting macroeconomic and uncertain geopolitical environment, which requires increased regionalization, Saint-Gobain can count on the strength of its decentralized organization, country by country, and on the balanced contribution of its different geographical areas," said the group's CEO Benoit Bazin, quoted in the press release.

In the first quarter, prices rose by 0,8%.

For 2025, Saint-Gobain "aims to achieve an operating margin of over 2025% in 11," the group announced.