A trading update today from Ibstock, manufacturer of bricks, tiles and precast concrete products, warns that its profits will be below previous expectations this year.
When Ibstock reported its interim results at the beginning of August for the first six months of 2025, it said that full-year adjusted Ebitda was expected to be in the range of 拢77m to 拢82m, having been 拢36m in the first half.
But August and September trading has not lived up to expectations. Full-year adjusted Ebitda is now forecast to be more like 拢72m, with no improvement in second half profits.
Ibstock said 聽today that a more uncertain near-term economic and political backdrop had led to a weaker than expected demand in both its Clay and Concrete businesses' core markets during the third quarter. Customers have been more cautious as the quarter progressed, and these conditions are now assumed to continue through the remainder of the year.
Chief executive Joe Hudson said: "With clear, long term structural imperatives for residential construction growth, it is disappointing that additional near term headwinds are impacting momentum in our markets in the latter part of the year.聽 In spite of this difficult and uncertain market backdrop, the group has continued to make good operational progress and maintain share.
"Whilst it remains difficult to predict the pace and timing of market recovery, we will continue to focus on strong execution and progressing our long term strategic growth projects. These initiatives, combined with the increasing contribution from our recent investments, leave us well positioned to benefit as the market returns."
On the positive side, Ibstock鈥檚 Atlas pathfinder factory continues to make good progress, with reliability and quality advancing and multiple new products progressing through final commissioning.聽 It is in line to move out of commissioning and into production in 2026. The commissioning of a new ceramics facades factory in Nostell is also progressing well, the company said.
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