CRH predicts profit hit from downturn

Irish materials firm CRH expects to see a "high single digit percentage decline" in its pre-tax profits for the year.

The firm predicted a pre-tax profit of around £475m for the six months to 30 June 2008, compared with £532m over the same period a year ago.

"The ongoing negative economic developments and financial market pressures of recent months are having an impact on business sentiment leading to weaker demand," the company said in a statement.

As a result CRH said it has carried out significant cost reduction measures over the past 18 months.

It said it would concentrate on operational efficiency and commercial delivery as part of a bid to intensify its efforts for the second half of the year.