Ibstock, the manufacturer of building products and solutions, has seen a dip in profit and revenues.
According to results for the six months ended 30 June 2024, revenues reduced by 20% to £178 million, down from £223 million in the same period of 2023.
The firm said this principally resulted from lower sales volumes across the core business, with lower market demand compounded by exceptionally wet weather.
Statutory profit before tax, meanwhile, dropped to £12 million from £30 million.
Joe Hudson, Chief Executive Officer, said: “Market conditions remained challenging in the first half, as expected, with sales volumes below those reported in the comparative period. We delivered a solid profit performance for the period which reflected our ongoing focus on the active management of cost and margin.
“Lead indicators point to an improving sector picture, and although we are taking a cautious view of the extent to which this will translate into a demand improvement in the balance of the year, we expect adjusted EBITDA for the second half of the 2024 year to be broadly in line with the comparative period in 2023.
“The new government’s commitment to increasing the supply of new homes creates a more positive backdrop for medium term demand, and the Group remains well-positioned for market recovery.
“Our investments over the last few years have added high quality, lower cost, efficient and more sustainable capacity to our network and developed new capabilities for the group in diversified construction markets, while also creating a leaner, more customer-focused business. We believe this will be a powerful combination as market conditions improve.
“The fundamental drivers underpinning demand in our markets are firmly in place and our prospects remain strong, underpinned by our robust balance sheet.”
