Breedon reports strong trading performance during start of the year
Construction materials group Breedon said trading in the first three months of the year was "encouraging".
The firm, which has operations across Shropshire and the West Midlands, added that it was starting to see the typical seasonal pick-up in activity towards the end of the quarter.
Breedon said there was "good" demand in Great Britain, where its business benefited from contributions from the Cemex acquisition, combined with a robust cement performance.
That, the board said, more than offset the impact of Covid-19 restrictions limiting construction activity in the Republic of Ireland.
Overall, group revenues in the first three months of the year were about £264 million, making for an increase of 27 per cent compared with the first quarter of 2020 – a period that largely pre-dated Covid-19 restrictions. On a like-for-like basis, revenues rose seven per cent.
Looking ahead, the company said the outlook for its markets remained positive, with construction output forecast to grow "significantly" in both the UK and the Republic of Ireland, led by infrastructure and housing development.
Based on the group's performance in the year to date, the board said its expectations for the full year were unchanged.
CEO Rob Wood said: "Whilst we are still seeing some disruption from Covid-19, we are pleased to have delivered a good start to the year and believe the prospects for Breedon and for our industry are increasingly positive."
Breedon said it would announce its results for the half-year ending June 30 on July 22.
