20th May 2025 12:59
(Alliance News) - Forterra PLC on Tuesday said its revenue has surged amid strong performance in both its Bricks and Blocks and Bespoke Products operating segments.
The Northampton, England-based clay and concrete product manufacturer said revenue in the four months to the end of April was up 22% to GBP124.1 million from GBP102.0 million.
It said there was continued positive momentum in trading amid higher demand, primarily driven by housebuilding as repair, maintenance and improvement demand remained subdued.
Forterra said its performance is consistent with an "improving market backdrop" as domestic brick despatches to the end of March picked up 17% on-year.
It will continue to implement selling price increases to offset cost inflation, the firm added.
"With demand recovering and inventories reducing we are actively managing production capacity to ensure we continue to address customer demand. We have recently taken steps to increase our production of concrete floor beams, and we are preparing to increase our brick production at Desford and expect to utilise both kilns simultaneously for the first time from [the fourth quarter of 2025]," Forterra said.
It also noted that it has made "good progress" with the reinstatement of its Wilnecote brick factory after an investment of around GBP30 million.
It said the commissioning of the brick slip production facility in Accrington also continues to progress in line with expectations.
Looking ahead, Forterra said it expects to continue to benefit from improved demand throughout the year, but noted that prior year comparatives will become more challenging as the year progresses.
The firm left its expectations unchanged as it remains mindful of the potential impact of macroeconomic uncertainty.
"Our key markets continue to benefit from attractive fundamentals including the government's commitment to materially increase housebuilding, although we remain mindful of the challenges in delivering this. Following our recent strategic investments in additional manufacturing capacity, the group remains ideally positioned to benefit from continued market recovery," Forterra concluded.
Shares in Forterra were up 1.2% to 191.20 pence in London on Tuesday afternoon.
By Michael Hennessey, Alliance News reporter
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