Firm says it has begun restoring capacity to meet demand
Revenue at brickmaker Ibstock was up 9% in the half year as the firm said new build residential work had begun to tick up.
It said UK brick deliveries were up 13% year on year as turnover increased to £193m in the six months to June.
But pre-tax profit was down a third to £8m as the firm said it spent more during the period bringing back capacity to meet demand.
Chief executive Joe Hudson said: “The new build residential market showed encouraging signs of recovery in the first half of the year, but activity is still well below normalised levels.
“As we plan for a period of further market growth, we have invested in restoring core capacity to meet demand. Whilst this has impacted margins in the first half, it will ensure we are able to benefit fully from the recovery as the market progresses.”
Ibstock said it was also hit by an exceptional cost of £2.8m relating to the closure of its Glass Reinforced Concrete business.
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