Breedon continuing to make good progress
Recently acquired and underlying businesses trading strongly with outlook remaining positive for 2015
IN their latest trading update, Breedon say the company is continuing to trade strongly, with both the recently acquired and underlying businesses making good progress. For the 10 months to October 2014, sales volumes of aggregates increased by 26%, asphalt by 12% and ready-mixed concrete by 18%, compared with last year.
Group sales revenue for the 10 months to October increased by 20% to £226 million, and assuming that weather conditions remain favourable for the remainder of the year, underlying EBITDA and underlying basic earnings per share for the full year are expected to be ahead of current market expectations (£34.8 million to £36.1 million and 1.30 pence to 1.46 pence respectively).
A spokesperson for the company said: ‘Our businesses in both England and Scotland have continued to make good progress, with product volumes in both countries ahead of last year and EBITDA margins improving.
‘Trading conditions in England have continued to be strong, with high demand in our key markets. In Scotland conditions have been more subdued; however some areas such as Aberdeen have seen strong growth.
‘We are delighted to have invested around £40 million on acquisitions during the year to date and expect to improve the performance of these businesses as they become fully integrated with Breedon’s existing operations.’
Looking ahead, Breedon say the outlook remains positive, with a number of projects already secured for next year, and the company is confident of making further progress in 2015. In particular, Breedon expect to see some improvement in Scotland, with several large contracts starting in their Scottish market areas.
Breedon’s preliminary results for the year to 31 December 2014 will be announced on 3 March 2015.
