VICAT : Sales to 31 March 2017

VICAT INVESTOR CONTACTS:

STÉPHANE BISSEUIL TEL. [phone]

[e-mail]

Sales to 31 March 2017

• Sales of €551 million, representing an increase of +1.4% at constant scope and exchange rates
• Firmer business levels in France, the United States, Africa and Middle East
• Small business contraction in Europe excl. France, and Asia

Paris La Défense, May 2, 2017: the Vicat Group (Euronext Paris: FR0000031775 - VCT) has today reported its sales for the period ended March 31, 2017 of €551 million, stable on a reported basis and up +1.4% at constant scope and exchange rates.

Consolidated sales by business segment:

(€ million)	31 March 2017	31 March 2016	Change (%)
			Reported	At constant scope and exchange rates
Cement	283	291	-3.0%	+4.5%
Concrete & Aggregates	204	198	+3.0%	-2.5%
Other Products & Services	65	65	0.0%	-0.9%
Total	551	554	-0.5%	+1.4%

VICAT PRESS CONTACTS:

MARION GUERIN

TEL. [phone]

marion.guerin@tbwa- corporate.com

HEAD OFFICE:

TOUR MANHATTAN 6 PLACE DE L'IRIS

F-92095 PARIS - LA DEFENSE CEDEX

TEL.: [phone]

FAX: [phone]

A FRENCH REGISTERED COMPANY WITH SHARE CAPITAL OF

€179,600,000

EU VAT IDENTIFICATION NUMBER: FR 92 - 057 505 539

RCS NANTERRE

Commenting on these figures, the Group's Chairman and CEO said: "During the first quarter, Vicat's activity levels increased again at constant scope and exchange rates despite broadly worse weather conditions than in 2016.

France continued its progressive recovery, while the United States posted further growth in its business. In Asia, a firm performance in India partly helped to make up for the business downturn in Kazakhstan and Turkey, where very difficult weather conditions took their toll. In the Africa and Middle East region, Egypt posted a strong top-line increase at constant scope and exchange rates, which made up for the decline in West Africa. Against this backdrop, Vicat remains focused on its objectives of maximising cash flow generation and reducing its debt."

In this press release, and unless indicated otherwise, all changes are stated on a year-on-year basis (2017/2016), and at constant scope and exchange rates.

Consolidated sales during the first quarter of 2017 came to €551 million, stable on a reported basis (-0.5%) and up +1.4% at constant scope and exchange rates compared with 2016.

Over the same period, Cement operational sales rose +3.1% (consolidated sales rose +4.5%) at constant scope and exchange rates, while Concrete & Aggregates operational sales declined

-2.7% (consolidated sales down -2.5%). Sales recorded by the Other Products & Services business were stable (operational sales up +0.4%, consolidated sales down -0.9%).

A breakdown of first-quarter operational sales between the Group's various business lines shows a slight dip in the contribution from the Cement business, which now accounts for 53.3% of operational sales compared with 54.6% in the first quarter of 2016. The Concrete & Aggregates business accounted for 33.3% of operational sales versus 32.1% in the first three months of 2016. Lastly, the contribution from Other Products & Services remained stable at 13.4% of operational sales versus 13.3% in the first quarter of 2016.

1. Geographical breakdown of first-quarter 2017 consolidated sales

1. France

   (€ million)	31 March 2017	31 March 2016	Change (%)
   			Reported	At constant scope
   Consolidated sales	196	183	+7.3%	+1.1%

   Consolidated sales in France for the period ended March 31, 2017 grew by +7.3% and by

   +1.1% at constant scope to €196 million. Sector conditions continued to improve during the quarter, even though weather conditions were significantly worse than in 2016.

   By business:

   • In the Cement business, operational sales slipped -1.1%, but rose +1.9% on a consolidated basis. Against a backdrop of very gradual improvement in the sector, volumes edged very slightly lower (-1%) owing to worse weather conditions than in 2016 and weaker export sales. As a result, selling prices were stable, with a very small improvement in the domestic market offsetting the dip in export prices.

   • In the Concrete & Aggregates business, operational sales rose by +14.0% and by +0.7% at constant scope (consolidated sales up +14.9% on a reported basis and up +1.3% at constant scope). On a reported basis, the quarterly performance of the business reflected the asset swap between Vicat and Cemex completed at the beginning of the year and the first-time consolidation of the recently acquired concrete plants. At constant scope, Vicat's performance in this segment was marked by a decline in concrete volumes of around -3% owing to weather conditions, offset by a healthy gain of over

     +5% in aggregates. Selling prices rose in Concrete, but dropped slightly in Aggregates.

   • In the Other Products & Services business, operational sales posted a very small increase of +1.1%.

2. Europe (excluding France)

   (€ million)	31 March 2017	31 March 2016	Change (%)
   			Reported	At constant scope and exchange rates
   Consolidated sales	80	81	-0.4%	-2.8%

   In Switzerland, the Group's consolidated sales declined -3.2% at constant scope and exchange rates (-0.8% on a reported basis).

   • In the Cement business, operational sales grew +5.2% (+10.1% on a consolidated basis) at constant scope and exchange rates. This performance is essentially the result of a favourable base for comparison given the soft business levels recorded in the first quarter of 2016 following the end of some major infrastructure projects. As a result, volumes rose by over +11%. Selling prices declined compared to the first quarter of 2016 as a result of the downturn recorded throughout 2016. On a sequential basis, selling prices were essentially stable compared with the fourth quarter of 2016.

   • In the Concrete & Aggregates business, operational and consolidated sales declined

     -11.4% at constant scope and exchange rates. This performance was driven by a decline in concrete volumes of close to -3%. and close to -6% in aggregates owing to the completion of road and civil engineering projects. As a result, selling prices dropped lower in concrete, but moved higher in aggregates.

   • The Precast business recorded a -3.1% decline in operational sales. This contraction was caused by the temporary dip in volumes in the railway segment and the reorganization of part of the precast products business to adapt to a fiercer competitive environment, which triggered strong pricing pressures.

     In Italy, consolidated sales grew +9.4%. This performance amid challenging industry conditions was driven by a significant volume improvement of +10% and a small pick-up in selling prices.

3. United States

   (€ million)	31 March 2017	31 March 2016	Change (%)
   			Reported	At constant scope and exchange rates
   Consolidated sales	84	80	+5.4%	+1.8%

   Business levels in the United States rose +1.8% relative to the first quarter of 2016, with favourable macroeconomic and sector conditions continuing to provide support.

   • In the Cement business, operational sales rose by +9.7% (+13.7% on a consolidated basis) at constant scope and exchange rates. Volumes rose by almost +3%, but performance varied from one region to another. The very high rainfall recorded again in California in the first quarter led to stable volumes in this area, while volumes grew further in the South-East. Selling prices recorded another increase in both regions relative to the first quarter of 2016.

   • In the Concrete business, sales declined -4.8% at constant scope and exchange rates. Volumes fell by close to -7% across the region as a whole, with a sharp fall in California owing to bad weather conditions, and a more moderate drop in the South-East. As a result of the hikes introduced in 2016, selling prices edged higher in California and firmed up slightly more in the South-East.

4. Asia (Turkey, India and Kazakhstan)

   (€ million)	31 March 2017	31 March 2016	Change (%)
   			Reported	At constant scope and exchange rates
   Consolidated sales	110	115	-4.4%	-1.7%

   In Turkey, consolidated sales came to €31.7 million, down -9.2% at constant scope and exchange rates (down -25.1% on a reported basis). Business trends were marked by the very poor weather conditions during the quarter, especially in the Anatolian plateau, and by a small dip in industry activity due to the political environment.

   • In the Cement business, the Group recorded a decrease of -6.7% in its operational sales (consolidated sales down -6.9%). Amid an uncertain political and geopolitical environment, volumes posted a fall of close to -5% given the far worse weather conditions than in 2016. Volume trends were very mixed over the period. Volumes sold in Ankara from the Bastas plant did not make up for the steep decline in volumes sold in the Konya region. Accordingly, the average selling price moved slightly lower over the period, with prices increasing slightly in the Bastas markets, but declining in the Konya region.