Ibstock Announces Revenue Growth in 2018, Outlines Future Plans
The company reports that revenue growth and adjusted EBITDA were in line with management’s expectations.
Ibstock plc recently announced 2018 revenue of £391.4 million (approximately $517 million), an increase of 7.9% compared to 2017. The company reports that revenue growth and adjusted EBITDA were in line with management’s expectations. According to Ibstock, some operational highlights for the year included:
- Simplified group structure, with the disposal of the U.S. brick business, Glen-Gery, for $110 million
- Disposals of surplus property, generating £9.5 million (~ $12.5 million) profit
- Good activity levels within the UK new build housing sector, with both price and volume growth achieved in the year
“2018 was a busy year of development for Ibstock, and we are pleased to be announcing profit growth and cash generation in line with management’s expectations,” said Joe Hudson, CEO. “Two strategic milestones were achieved during the year. First, we commissioned our new 100 million capacity brick factory in Leicestershire, adding significant new capacity to our UK brick operations. Secondly, we also took the decision to dispose of Glen-Gery, our U.S. brick manufacturing business, to focus the group on the UK market, where we have leading positions. I am also pleased to report that the enhanced maintenance program announced in July remains on track.
“With our business structure now simplified and with a clear strategic focus on the UK, we are updating shareholders today on a range of operational excellence initiatives to optimize performance of both our clay and concrete businesses in the years ahead. We will maintain our disciplined approach to investment and capital allocation, and our strong balance sheet gives us the opportunity to invest to grow, either organically or by selective acquisition.
“Whilst we remain mindful of the current political and economic uncertainties in the UK, Ibstock is well-positioned, with market fundamentals that remain encouraging for the medium term. We look forward to another year of progress for the group.”
For more information, visit www.ibstockplc.com.