Trading is ahead of expectations at Breedon, the construction materials group.
According to a trading update for the ten months to 31 October 2023, the business has delivered a “strong performance.” When compared to the same period in 2022, revenue increased 8%.
Breedon noted that changes to building regulations in the UK that took effect in June impacted ready-mixed concrete volumes, while aggregate and asphalt volumes have continued to moderate. However, pricing has been sustained and Breedon has maintained “tight control” over its cost base.
Due to a strong performance in the year to date, the company now expects to achieve full year 2023 underlying EBIT ahead of market consensus.
Rob Wood, Chief Executive Officer, said: “Notwithstanding the market backdrop, the Breedon team continues to deliver and we are delighted to report a trading performance ahead of expectations.
“Against the uncertain political and economic backdrop, our teams have adapted well to deliver a compelling performance, whatever the prevailing market conditions.
“Our strategic focus on ensuring Breedon is a great place to work, taking care of our people and the communities around our sites, has once again been reflected in both our financial performance as well as our colleague engagement, of which I am particularly proud.
“But we never settle – we will continue to seek ways to operate as efficiently and sustainably as possible, invest in our people and grow our business so we are positioned to succeed when the construction materials market returns to growth.”
