Saint-Gobain: 2023 Annual Results

Record operating margin and free cash flow

• Good resilience in sales, down 0.9% like-for-like despite a difficult environment in new construction in Europe
• Record operating margin of 11.0% (up in all Regions) and record operating income at constant exchange rates
• Record free cash flow of €3.9bn, with a cash conversion ratio of 62%
• 34% reduction in CO₂ emissions vs 2017 (scope 1 and 2)
• Total shareholder return (TSR) of 51% in 2023, with €1.6bn of share buybacks and dividends. Dividend of €2.10 (+5%) recommended for 2023
• 2024 outlook: despite a context which remains difficult in certain markets, the Group expects a double-digit operating margin for the fourth consecutive year

Benoit Bazin, Chief Executive Officer of Saint-Gobain, commented:

“In a difficult macroeconomic environment with lower volumes, Saint-Gobain once again demonstrated the strength of its “Grow & Impact” strategy and of its positioning as the worldwide leader in light and sustainable construction. Our cost actions and well-managed pricing helped drive an improvement in the operating margin and in free cash flow generation, which both reached all-time highs. Thanks to strict capital allocation in terms of both capex and acquisitions, the Group now generates almost two-thirds of its earnings in North America, emerging countries and Asia-Pacific, and I am delighted with the strong contribution that our planned acquisition of CSR in Australia would bring. Supported by the impressive agility and dedication of our teams, Saint-Gobain is outperforming and demonstrating its resilience in contrasting markets, benefiting from its proximity to customers and its unique range of comprehensive innovative solutions. Saint-Gobain is determined to remain at the forefront of sustainable construction with the launch of low-carbon solutions, while reducing its own CO₂ footprint, which is now 34% lower than in 2017 (scope 1 and 2).

I am confident that 2024 will be another successful year for Saint-Gobain, thanks to good momentum in the fast-growing North American, Asian and emerging markets and to the seamless integration of our recent acquisitions, particularly in construction chemicals. In Western Europe, renovation will continue to show resilience, while new construction will remain difficult but will gradually reach a low point country by country, in a market that remains structurally healthy given its construction needs. In this context, in 2024 we expect a double-digit operating margin for the fourth consecutive year.”

Success of the “Grow & Impact” strategic plan

An attractive profitable and sustainable growth profile

The “Grow & Impact” plan rolled out as from 2021 has placed the Group on a financial trajectory that has seen an acceleration in growth of its results, cash flow and value creation, delivering on all the objectives set three years ago:

• Strong organic growth of 6.4% per annum on average¹, supported by an unrivalled range of sustainable solutions accounting for almost three-quarters of Group sales;
• Creation of a world leader in construction chemicals, with annual sales of €5.7 billion (pro forma for recent acquisitions and divestments), thanks to strong organic growth and the 30 acquisitions carried out in the last three years;
• Pro forma operating income well-balanced between the three geographic zones: 32% in North America, 31% in Asia and emerging countries and 37% in Western Europe;
• Record profitability and value creation, with on average over three years: an operating margin of 10.5%, a free cash flow conversion ratio of 58% and a ROCE of 15.8%;
• Significant efficiency gains thanks to the organization by country with 90% of CEOs native to their country, resulting in close proximity to customers, stronger pricing power and enhanced results-driven accountability for local teams;
• Record-high shareholder return: €4.1 billion returned to shareholders over a three-year period through share buybacks and dividends. With almost €1.6 billion in shares bought back over three years, the Group is ahead of the €2 billion target it had set for the five-year period 2021-2025.

Sustainability is at the heart of the Group’s strategy

Saint-Gobain is rolling out its range of high-performing sustainable solutions, aimed at maximizing the positive impact for its customers, including:

• Low-carbon solutions: ORAÉ^®, the world’s first-ever low-carbon glass (42% less CO₂), and Glasroc^® X and H plasterboard reinforced with Adfors fiber glass mat with a carbon footprint two to three times lower than traditional alternatives;
• Solutions for the circular economy: Placo^® Infinaé 13 plasterboard made with over 50% recycled plaster;
• Solutions reducing carbon emissions for our customers: Chryso EnviroMix^®, allowing a 50% reduction in CO₂ emissions from concrete.

Saint-Gobain is also making rapid progress in minimizing its environmental footprint, notably thanks to several innovations in its production processes:

• Start-up of the world’s first-ever 100% electric production of plasterboard in Norway, using 100% renewable electricity;
• World’s first-ever test production of glass in a furnace powered by over 30% hydrogen in Germany;
• Very-low-carbon production of siding in the US (with 100% renewably-sourced electricity), plasterboard in India (thanks to the use of biomass) and acoustic ceilings in Finland (via the use of biogas and recycled glass).

In 2023, Saint-Gobain invested €223 million in capital expenditure and research & development for decarbonization. Its investment decisions are underpinned by the internal carbon prices (in force since 2016) that have once again been raised from €75 to €100 per tonne for capex investments and from €150 to €200 per tonne for research & development projects. Thanks to these efforts, the Group was able to reduce its scope 1 and 2 CO₂ emissions by 34% (to 8.8 million tonnes) and together with the growth in its earnings, carbon intensity per euro of sales and EBITDA fell by 44% and 56%, respectively, in 2023 versus 2017.

Saint-Gobain has also increased the proportion of carbon-free electricity that it uses, which reached 57% of its consumption in 2023 (versus 52% in 2022). Thanks to eight new renewable electricity supply agreements (Power Purchase Agreements or Virtual Power Purchase Agreements) signed since the start of 2023 (US, India, France, South Africa, Egypt, Italy, Sweden and China), around two-thirds of the electricity used by the Group will be carbon-free by 2025.

In terms of safety, the Group’s accident frequency rate with and without lost time (TRAR, including subcontractors and temporary staff) was 1.3 (down 18% year-on-year) and has been halved over the past five years.

Lastly, stakeholder engagement at Saint-Gobain increased once again in 2023:

• 87% of Group employees took part in the me@Saint-Gobain survey, with an 83% engagement rate and a strong feeling of belonging for 89% of employees (versus an average benchmark of 73%);
• As the global industry leader, the Group launched the Sustainable Construction Observatory in 2023, with three Sustainable Construction Talks held during the year (Paris, New York during Climate Week and Dubai during COP28);
• Saint-Gobain also supported around 100,000 trade professionals in France in 2023 in the area of training and certification, including in the RGE (Recognized Guarantor of the Environment) certification; over 80% of building projects eligible for the MaPrimeRénov’ household stimulus package use the advisory and estimation tool CAP RENOV developed and commercialized by Saint-Gobain.

Group operating performance

Like-for-like sales showed good resilience, down 0.9%, supported by advances in Asia-Pacific, the Americas and High Performance Solutions, in contrast to the difficult macroeconomic environment in Europe. The Group continued to outperform its main markets thanks to the pertinence of its strategic positioning at the heart of energy and decarbonization challenges, and the strength of its local organization by country, offering comprehensive solutions to its customers.

In a less inflationary environment, Group prices were up 4.6% over the year (up 0.8% in the fourth quarter), generating a positive price-cost spread once again.

In line with the Group’s expectations for the year announced at the start of 2023, volumes were down by 5.5% over the year (down 4.5% in the fourth quarter), reflecting a contrasting situation: a marked decline in new construction but good resilience overall in renovation. In each local market, the Group is taking the proactive commercial and industrial measures necessary to maintain its strong operating performance.

On a reported basis, sales were down by 6.4% to €47.9 billion, with a negative currency effect of 2.3% and a negative Group structure impact of 3.2%. The Group structure impact results from the ongoing optimization of the Group’s profile, both in terms of disposals – mainly in distribution (UK, Poland and Denmark), glass processing activities, Crystals & Detectors and ceramics for the steel industry – and in terms of acquisitions, mainly in construction chemicals (GCP Applied Technologies, Impac in Mexico, Matchem in Brazil and Best Crete in Malaysia), exterior products in Canada (Kaycan and Building Products of Canada) and insulation (U.P. Twiga in India).

Thanks to its recent acquisitions and investments, the Group has successfully strengthened its position in North America, Asia and emerging countries, as well as in construction chemicals. Construction chemicals overall delivered solid 3.4% organic growth in 2023.

• The integration of recent acquisitions is proceeding well, and synergies have been confirmed and successfully put in place:
• Taken together, Chryso and GCP improved their EBITDA margin by more than 400 basis points compared to 2022 and generated €50 million in synergies, ahead of targets. Chryso created value from year two – one year earlier than expected – thanks to its excellent operating performance and a seamless integration: the business reported EBITDA of €121 million and continues to deliver an industry-leading margin. GCP met its target of US$170 million in EBITDA for 2023, as expected for the first full year since its acquisition;
• Kaycan reported C$101 million in EBITDA in 2023 and also unlocked synergies, particularly in procurement, ahead of targets;
• The integration process is proceeding in line with expectations for Building Products of Canada, acquired in September 2023.

Operating income was €5,251 million, a record-high at constant exchange rates (2022 rates). The operating margin reached a new record-high of 11.0% in 2023 (versus 10.4% in 2022), representing an increase of 330 basis points since the launch of the Group’s transformation at the end of 2018. Despite a difficult macroeconomic environment, all Regions reported operating margin growth, once again testifying to the Group’s resilience.

Segment performance (like-for-like sales)

Northern Europe: record margin despite lower sales

The Region was down 5.9% in 2023 amid a sharp slowdown in new construction, while renovation (around 55% of sales) proved more resilient. The Region’s operating margin hit a new annual record-high of 8.2% (versus 7.8% in 2022), thanks to an optimized business profile and very well managed costs and industrial efficiency.

In Nordic countries, the sharp fall in new construction, particularly in Sweden and Norway, was partly offset by our exposure to renovation. Saint-Gobain further differentiated its offer in 2023, with the commercial launch of Klima plasterboard manufactured at its Fredrikstad plant in Norway using 100% hydroelectric power. The UK outperformed a downbeat market, benefiting from strong sales momentum thanks to the success of its local organization and comprehensive range of solutions along with a newly optimized portfolio. Germany continued to suffer in a difficult macroeconomic environment which weighed on new construction; Saint-Gobain launched a closed-loop recycling service for Isover insulation and Rigips plasterboard in the country in 2023. In Eastern Europe, volumes progressed in the fourth quarter, driven by our comprehensive range of interior and exterior solutions.

Southern Europe - Middle East & Africa: resilient sales and margin growth

The Region’s sales held up well (down 0.9%) owing to renovation (nearly 70% of sales), while new construction continued its decline. The operating margin for the Region performed well, at 8.1% (versus 8.0% in 2022), thanks to very well managed costs and industrial efficiency.

Amid a sharp decline in new construction, Saint-Gobain continued to outperform in France thanks to its exposure and extensive expertise in renovation, supported by regulatory tailwinds and the increase in stimulus measures, both for private housing (the MaPrimeRénov’ household renovation package, which was raised from €2.7 billion for 2023 to €4 billion for 2024) and for programs related to public and commercial buildings. The Group continues to enhance its offering, with dedicated initiatives for major eco-certified projects, high value-added low-carbon solutions, and white papers on its complete offering for healthcare and educational facilities and the renovation of multi-family housing.

In line with the introduction of the Extended Producer Responsibility (EPR) regulation in 2023 on end-of-life management of construction waste, the Group has ramped up its recycling services with Saint-Gobain Glass^® Recycling, Placo^® Recycling and Isover^® Recycling, thanks to the start-up of a new-generation furnace for recycling glass wool from construction waste at Chemillé.

In Spain and Italy, sales were up in broadly resilient construction markets, and the Group launched Placotherm^® Integra, a comprehensive light façade solution offering thermal insulation and acoustic protection using Glasroc^® X technology.

Middle East and Africa enjoyed strong growth, especially in Turkey – where the acquisition of Dalsan created a new leader in light and sustainable construction solutions – and in Egypt, where the Group’s growth accelerated thanks to the acquisition of Drymix in construction chemicals. Saint-Gobain also enhanced its building envelope offering in Saudi Arabia through its acquisition of Izomaks in construction chemicals (waterproofing products).

Americas: sales growth in North America and record margin

The Region delivered 1.9% organic growth in 2023, driven by the outperformance in North America. Operating income hit a new record-high (€1.6 billion), along with its operating margin at 16.8% (versus 16.1% in 2022), supported by well-managed costs and productivity, and the upturn in volumes in North America.

• North America reported 5.3% organic growth over the year (8.7% as reported, including the integration of Kaycan, Building Products of Canada and GCP’s waterproofing membranes) in a new construction market that has stabilized. Good momentum in the second half of the year drove a significant rise in volumes and Saint-Gobain saw further market share gains thanks to its comprehensive, differentiated range of interior and exterior light construction solutions. The integrations of GCP and Kaycan are making particularly good progress, enabling us to achieve the expected synergies. The Building Products of Canada acquisition was completed more quickly than expected, as of September 2023, allowing Saint-Gobain to reinforce its leadership in Canada in construction materials with a comprehensive range of interior and exterior solutions. In light of the favorable growth outlook, capital expenditure increased in North America, totaling over €350 million in 2023.
  
  
  
  
• Latin America was down by 7.3% in 2023. Despite a difficult macroeconomic climate throughout the year in Brazil, the volume decline eased towards the end of the period – thanks to the outperformance of light construction solutions – and some macroeconomic indicators are improving (falling interest rates, inflation under control, stimulus plan). Saint-Gobain saw market share gains in Mexico and benefited from the highly successful integration of Impac (construction chemicals: waterproofing). Other countries benefited from an increase in sales prices, an enriched mix, and a geographic footprint and product range extended by bolt-on acquisitions. The Group has successfully replaced 25% of its natural gas with biogas at its glass plant in Jacarei near São Paulo, and 100% at its mortars plant in Rio de Janeiro.

Asia-Pacific: good sales momentum and record margin

The Region reported 5.3% organic growth over the year, with good momentum in volumes and a record operating margin at 12.6% (versus 12.1% in 2022).

India posted another year of outperformance thanks to its comprehensive and innovative range of solutions, the successful integration of recent acquisitions in insulation and the start-up of new capacity (plasterboard, glass and construction chemicals). Saint-Gobain plays a pioneering role in promoting low-carbon buildings in India: the Group has launched the first low-carbon production of plaster and the first low-carbon glass in the country, with a 40% reduction in CO₂ emissions (scope 1 and 2).

In a difficult construction market in China, the Group continued to capture market share and increase volumes, thanks to its light construction solutions and its differentiated range of products and services (moisture resistance, fire resistance, improved air quality, digital marketing). The Group inaugurated its fourth plasterboard factory and its fifth gypsum factory, in Yuzhou (Henan province), thereby expanding its footprint towards inner China.

In South-East Asia, Malaysia, Singapore, Indonesia and the Philippines reported strong growth, driven by an enriched range of solutions and recent acquisitions (Best Crete in construction chemicals and Hume Cemboard Industries in light construction in Malaysia). Vietnam outperformed a difficult market in 2023 thanks to the rollout of personalized logistics and digital services.

High Performance Solutions (HPS): sales and margin held firm

HPS delivered 2.6% organic growth, benefiting from innovation efforts, a recovery in automotive and an increase in sales prices. The operating margin remained stable at 12.0%, with good cost management offsetting the negative mix effect in Mobility.

• Businesses serving global construction customers saw sales grow 23% as reported, due mainly to the GCP integration. Chryso continued to post a strong performance, with 9.1% organic growth driven by infrastructure projects and innovation for decarbonizing construction. Business picked up pace for GCP, thanks to the successful implementation of integration synergies, in particular vertical integration in polymerization. In 2023, three new acquisitions were carried out to complete the portfolio of technological solutions and accelerate geographic expansion; four new plants or production lines were opened (Romania, India, Turkey and France) – notably leveraging Saint-Gobain’s global presence to start up new production facilities in record time at existing Group sites – and the construction of 10 new facilities began (notably in the US, Mexico, Brazil, the Philippines and Australia).
  
  
  
  However, Adfors’ reinforcement solutions contracted due to their greater exposure to new construction in Europe.
  
  
  
  
• The Mobility business outperformed, buoyed by the increase in sales prices, its technological expertise and its position in electric vehicles – accounting for 38% of sales at the end of the year. Momentum remained upbeat in the Americas and Asia and volumes rebounded in Europe against a weak comparison basis.
  
  
  
  
• Businesses serving Industry were driven by sales prices and by demand for cutting-edge materials and decarbonization technologies, despite a slowdown in industrial markets. In France in the fourth quarter, the Group inaugurated a new automated production line reducing energy requirements by 65% to manufacture Cruciforms^® refractories – which are essential for our glass customers’ decarbonization processes. The recent acquisition of Glass Service, a leading provider of digital solutions for glass furnaces, particularly in the field of control and optimization systems, completes our offer for these customers.

Analysis of the 2023 consolidated financial statements

The 2023 consolidated financial statements were approved by Saint-Gobain’s Board of Directors at its meeting of February 29, 2024. The consolidated financial statements were audited and certified by the statutory auditors.

1. Recurring net income = net attributable income excluding capital gains and losses on disposals, asset write-downs and material non-recurring provisions
2. Calculated based on the weighted average number of shares outstanding (507,282,902 shares in 2023; 514,372,413 shares in 2022)
3. Capital expenditure = investments in tangible and intangible assets
4. Free cash flow = EBITDA less depreciation of right-of-use assets, plus net financial expense, plus income tax, less capital expenditure excluding additional capacity investments, plus change in working capital requirement
5. Free cash flow conversion ratio = free cash flow divided by EBITDA, less depreciation of right-of-use assets
6. Investments in securities net of debt acquired = €1,306 million in 2023, of which €1,073 million in controlled companies

EBITDA came in at €7,001 million, close to its all-time high of 2022. EBITDA includes lower non-operating costs of €236 million.

The net balance of capital gains and losses on disposals, asset write-downs and the impact of changes in Group structure represented an expense of €784 million. It reflects €238 million in asset write-downs essentially relating to site closures and disposals (€292 million in 2022), €181 million in Purchase Price Allocation (PPA) intangible amortization (€116 million in 2022), and €365 million in disposal losses and impacts relating to changes in Group structure, mainly translation adjustments on UK distribution assets sold in March 2023.

Recurring net income was €3,242 million. The tax rate on recurring net income was 25%.

Capital expenditure totaled €2,029 million, with around 70% of growth capex invested in North America, Asia and emerging countries. The Group opened 23 new plants and production lines focused on the fast-growing markets of construction chemicals and light construction.

Free cash flow came in at a new record-high of €3,910 million – a three-fold increase compared to 2018. The conversion ratio was 62% (59% in 2022), reflecting very good management of operating working capital requirement (WCR), which represented 13 days’ sales at end-2023 compared to 15 days’ sales at end-2022.

ROCE was 15.9% in 2023, resulting in strong value creation for our shareholders.

Investments in securities totaled €1,306 million, with Building Products of Canada (roofing) the largest acquisition for around €900 million. Divestments totaled €947 million, mainly reflecting the sale of distribution activities in the UK for €803 million.

Net debt fell 10.2% to €7.4 billion. The net debt to EBITDA ratio was 1.1 versus 1.2 at end-2022.

Attractive shareholder return policy

In 2023, the dividend paid and share buybacks carried out represented €1.6 billion:

• A dividend of €1,013 million was paid in respect of 2022;
• An amount of €542 million was allocated for share buybacks in 2023 (net of employee share creation), reducing the number of shares outstanding to 502 million at end-2023 (511 million at end-2022).

Saint-Gobain’s Board of Directors decided to recommend to the Shareholders’ Meeting on June 6, 2024 the payment of a cash dividend up 5% to €2.10 per share for 2023 (€2.00 in 2022).

The ex-dividend date has been set at June 10 and the dividend will be paid on June 12, 2024.

In 2024 the Group expects to complete – one year earlier than expected – its five-year €2 billion share buyback program announced in 2021, i.e. €420 million of share buybacks in 2024.

2024 outlook and strategic priorities

In a geopolitical and macroeconomic environment that remains challenging, Saint-Gobain will continue to demonstrate its resilience and its excellent operating performance, thanks to its focused strategy and its proactive commercial and industrial initiatives.

Saint-Gobain expects some of its markets to remain difficult in 2024, especially in the first half of the year owing to a high comparison basis, with a contrasting situation between Europe and the rest of the world:

• Europe: resilience in renovation; new construction remaining difficult before gradually reaching its low point country by country;
• Americas: construction to hold firm in North America (new build and renovation); recovery expected during the year in Latin America;
• Asia-Pacific: good growth in most countries;
• High Performance Solutions: Construction Chemicals to see dynamic growth; Mobility to hold firm and a contrasting situation on industrial markets in terms of demand.

Against this backdrop, in 2024 the Group will continue to implement the strategic priorities set out in its “Grow & Impact” plan for 2021-2025:

1) Continue our initiatives focused on profitability and free cash flow generation

• Constant focus on the price-cost spread;
• Productivity initiatives and swift adjustments from country to country where necessary;
• Capital expenditure slightly above 4% of sales, with strict allocation to high-growth markets.

2) Outperform our markets by strengthening our profitable growth profile

• Enrich our comprehensive range of integrated, differentiated and innovative solutions offering sustainability and performance for our customers;
• Continue our value-creating targeted acquisitions and divestments dynamic, and benefit from the successful integration of recent acquisitions.

3) Continued focus on our ESG roadmap as leader in sustainable construction

• Promote our positive-impact and low-carbon solutions among our customers;
• Extend the decarbonization of construction to the entire value chain, playing our full role as leader in light and sustainable construction.

Financial calendar

An information meeting for analysts and investors will be held at 8:30am (GMT +1) on March 1, 2024 and will be streamed live on Saint-Gobain’s website: www.saint-gobain.com

• Sales for the first quarter of 2024: Thursday April 25, 2024, after close of trading on the Paris stock exchange
• UK site visit: Tuesday July 2, 2024
• First-half 2024 results: Thursday July 25, 2024, after close of trading on the Paris stock exchange

Glossary:

- Indicators of organic growth and like-for-like changes in sales/operating income reflect the Group’s underlying performance excluding the impact of:

• changes in Group structure, by calculating indicators for the year under review based on the scope of consolidation of the previous year (Group structure impact);
• changes in foreign exchange rates, by calculating indicators for the year under review and those for the previous year based on identical foreign exchange rates for the previous year (currency impact);
• changes in applicable accounting policies.

- EBITDA = operating income plus operating depreciation and amortization, less non-operating costs.

- Operating margin = operating income divided by sales.

- ROCE (Return on Capital Employed) = operating income for the year adjusted for changes in Group structure, divided by segment assets and liabilities at year-end.

- ESG = Environment, Social, Governance.

- Purchase Price Allocation (PPA) = the process of assigning a fair value to all assets and liabilities acquired and of allocating the residual goodwill as required by IFRS 3 (revised) and IAS 38 for business combinations. PPA intangible amortization relates to amortization charged against brands, customer lists, and intellectual property, and is recognized in “Other operating expenses and asset impairment”.

- Pro forma = sales or operating income including the full-year impact of changes in Group structure.

- TRAR = total recordable accident rate with and without lost time for 1 million hours worked for the Group’s employees, temporary workers and permanent subcontractors.

- TSR = total shareholder return, including changes in the share price, dividends received and reinvested in shares and transactions in the Company’s shares.

All indicators contained in this press release (not defined in the footnotes) are explained in the notes to the consolidated financial statements as at December 31, 2023, available by clicking here: https://www.saint-gobain.com/en/news/full-year-2023-results

Important disclaimer – forward-looking statements:

This press release contains forward-looking statements with respect to Saint-Gobain’s financial condition, results, business, strategy, plans and outlook. Forward-looking statements are generally identified by the use of the words “expect”, “anticipate”, “believe", "intend", "estimate", "plan" and similar expressions. Although Saint-Gobain believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions as at the time of publishing this document, investors are cautioned that these statements are not guarantees of its future performance. Actual results may differ materially from the forward-looking statements as a result of a number of known and unknown risks, uncertainties and other factors, many of which are difficult to predict and are generally beyond the control of Saint-Gobain, including but not limited to the risks described in the “Risk Factors” section of Saint-Gobain’s Universal Registration Document and the main risks and uncertainties presented in the half-year 2023 financial report, both documents being available on Saint-Gobain’s website (www.saint-gobain.com). Accordingly, readers of this document are cautioned against relying on these forward-looking statements. These forward-looking statements are made as of the date of this document. Saint-Gobain disclaims any intention or obligation to complete, update or revise these forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable laws and regulations.

This press release does not constitute any offer to purchase or exchange, nor any solicitation of an offer to sell or exchange securities of Saint-Gobain.

For further information, please visit www.saint-gobain.com

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North America reported 5.3% organic growth over the year (8.7% as reported, including the integration of Kaycan, Building Products of Canada and GCP’s waterproofing membranes) in a new construction market that has stabilized.