16th Jan 2017 07:17
LONDON (Alliance News) - Clay brick maker Ibstock PLC on Monday said will hit its earnings expectations for 2016 after growth in revenue in the UK and the US.
Ibstock said group revenue for the year to the end of December rose 5.0% year-on-year, with 2.0% growth in the UK and 18% in the US, the latter benefiting from translating dollar sales into a weak pound. In constant currencies, US revenue rose 4.0%.
Ibstock said it saw low-single-digit percentage volume growth for clay bricks in the UK in 2016, with overall sales volumes higher year-on-year. It also got a boost from growing housebuilder orders in the second half and as levels of national brick imports declined in the second half.
In the US, revenue was boosted by higher average prices for Ibstock's bricks and a higher-margin product mix.
As a result, adjusted earnings before interest, tax, depreciation and amortisation for 2016 will be in line with Ibstock's expectations.
The group added it has completed its 2017 pricing negotiations with customers in line with its expectations.
Ibstock will publish full annual results on March 7.
By Sam Unsted; [email protected]; @SamUAtAlliance
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