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Ibstock cautious on outlook as construction markets remain subdued
(Sharecast News) - Building products manufacturer Ibstock said on Tuesday that market uncertainty had persisted into the new year, with residential construction and RMI activity expected to remain subdued in the near term, despite the prospect of modest year‑on‑year volume growth in the second half. Ibstock said it had delivered "a solid performance in FY25", with revenue rising 2% to around £372m, even as trading conditions became "progressively more challenging".
However, total brick market volumes of roughly 1.85bn remained well below the 2.5bn recorded in 2022, though Ibstock said its Clay market share in the 11 months to November was ahead of the prior period.
Chief executive Joe Hudson said: "2025 started well, with a solid increase in volumes, before market uncertainty led to progressively tougher conditions through H2.
"Whilst market dynamics remain uncertain, Ibstock is in robust financial health, with decisive action taken to manage costs and near-term capacity. With continuing market leadership, recent major investments substantially complete, and a strengthened balance sheet following non-core disposals in Q4, the group is well positioned to capitalise on the market recovery and generate increasing amounts of free cash flow."
Reporting by Iain Gilbert at Sharecast.com
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