Breedon Aggregates Limited is the largest independent aggregates business in the UK after the global majors. We operate 52 quarries, 27 asphalt plants, 61 ready-mixed concrete & mortar plants and three concrete block plants in England, Wales and Scotland, employing more than 1,250 people.
The group has strong asset backing, with around 400 million tonnes of mineral reserves and resources in the UK.

Breedon Aggregates’ strategy is to continue growing through consolidation of the UK heavyside building materials sector.

We have two fully-integrated autonomous businesses, in England and Scotland, each with its own management team.

Breedon Aggregates England

Our English operations are headquartered at Breedon-on-the-Hill near East Midlands airport and employ around 450 people. Breedon Aggregates England operates 13 quarries, 7 asphalt plants and 18 ready-mixed concrete and mortar plants, serving the East & West Midlands and East Anglia, north Wales, Greater Manchester and South Yorkshire.

Our English contracting services business undertakes minor road surfacing projects as well as major infrastructure contracts, serving an area from the east coast to mid-Wales and from the M62 corridor to the South Midlands.

Breedon Aggregates Scotland

Our Scottish operations are headquartered in Dundee and employ around 550 people. Breedon Aggregates Scotland operates 24 quarries, 15 asphalt plants, 30 ready-mixed concrete plants and two concrete block plants, primarily supplying the north, west and east of Scotland including the Hebrides.

We own a 37.5% stake in BEAR Scotland, which manages the north-east, north-west and south-east trunk road networks on behalf of Transport Scotland, and also own a majority stake in traffic management services company Alba Traffic Management, the leading provider of traffic management solutions throughout Scotland.

Mobile Concrete Solutions (MCS), our joint venture with specialist construction services company TSL, offers on-site concrete batching services anywhere in the country, specialising in wind farms, hydro-electric projects, power grids and plans and offshore energy - often in extremely remote locations.




http://www.breedonaggregates.com/

Breedon Aggregates is a good opportunity for long term investors, broker says

By Jamie Ashcroft

April 20 2015, 1:36pm
“I remain a buyer of the stock,' Cammack said


The current price of Breedon Aggregates (LON:BREE) shares presents a good opportunity for longer term investors, according to City broker Cenkos.

Analyst Kevin Cammack in a note highlighted Breedon’s strong first quarter performance, which saw sales revenues 30% ahead of the previous year. It was the result of both organic and acquisition driven growth.

Cammack reckons it is probably premature to upgrade his view for the stock, but, says the update has reaffirmed several key investment attractions for Breedon.

Breedon’s organic growth would likely accelerate once the broader industry cycle begins to comprehensively swing upwards, the analyst added.

In the meantime Cammack believes the company’s management still has elements of ‘self-help’ which can push margins forward further.

At the same time the analyst said Breedon’s acquisition policy is delivering incremental growth and value to the business, and he believes that momentum remains a strong driver for the share.

“I remain a buyer of the stock and as I pointed out a couple of weeks ago, the current phase of flat-lining share price is a good opportunity for longer term investors,” Cammack said.

He added: “A pre-interim IMS will be released on 2 July and assuming trading has not relapsed measurably at that point, I would expect to raise base forecasts for 2015.

“It would be wrong however, to dismiss entirely the possibility of some easing in volume or indeed increased competitiveness at the margin.”

Cammack currently forecasts Breedon’s 2015 profit before tax at £25.4mln and fully-diluted earnings per share at 1.8p, which represent growth of 21% and 16.5% respectively.

.proactiveinvestors,breedon-aggregates-michelmersh-and-marshalls-pave-the-way-to-growth

.proactiveinvestors, breedon-builds-on-conservative-victory

Breedon Aggregates' growth to continue, says Cantor Fitzgerald

June 08 2015, 12:45pm

Cantor, which has just started coverage, reckons its track record with these deals “sets the bar for value creation from asset purchases”.



Facilities are in already in place for up to £50mln in acquisitions .




Deals such as the Holcim /Lafarge merger should throw up more acquisition opportunities for quarry owner Breedon Aggregates (LON:BREE), argues Cantor Fitzgerald.



The broker says international majors are now focused on size, which means they are now more likely sellers than buyers of small assets in the UK, an area where Breedon specialises.



It has made eight acquisitions in the past four years and Cantor, which has just started coverage, reckons its track record with these deals “sets the bar for value creation from asset purchases”.



Facilities are in already in place for up to £50mln in acquisitions without needing to raise new equity. Helping here will be the fragmented nature of the UK aggregates business.



Small independents are in charge of 400 quarries that produce 35% of the UK’s annual material consumption, a structure that gives Breedon plenty of room to grow.



Cantor believes Breedon will be near its long-term 15% underlying profit [EBITDA] margin target this year, compared to 11.6% in 2012.



Acquisitions have chipped in £12.5mln to that growth and if Breedon can repeat this over the next three years through more deals, Cantor believes it would add a minimum 7p to the share price.



In addition, the UK construction market is expected to grow by 3%-4% with the roads budget, of particular interest to Breedon, to grow by 11% this year and 1%-7% thereafter.



Cantor concedes Breedon shares are highly rated already, but a superior growth profile and the fact it has grown from “almost nothing” in 2008 to the fifth largest aggregates producer in the UK today warrants the premium.



"To invest at this valuation one must believe that Breedon will close further acquisitions, increase growth capex as planned and realise strong returns from this capex.



"We think it can, aided by a strong underlying market. The group is uniquely placed to close on targets in our view and has a track record of creating value by doing so."



'Buy' with a target price 55p, it says. Shares today were up slightly to 46.8p.

Half yearly report

Highlights

· Strong trading performance

· Underlying business well ahead of prior year

· Underlying EBITDA margin up to 17.0%

· Huntsmans and former Barr business performing well

· Step-up in capital investment on track

· Mineral reserves & resources replenished

· Several acquisition opportunities under review

Company News

Breedon Aggregates posts strong first half; says it's set to beat full-year expectations

Thu, 23 July 2015


Breedon Aggregates posts strong first half; says it's set to beat full-year expectations



(ShareCast News) - Breedon Aggregates posted a 92% rise in first-half pre-tax profit amid growing revenue, as the company said it looks set to beat market expectations for the full year.
Pre-tax profit for the six months to 30 June came in at £17.5m from £9.1m the previous year, on revenue of £160.5m, up 28% from £125.2m.

Underlying basic earnings per share came in at 1.29p from 0.73p, while net debt fell to £58.3m from £63m.

The company said it had enjoyed a strong trading performance, with 4.5m tonnes of aggregates sold versus 3.6m in the same period in 2014, 0.9m tonnes of asphalt sold compared with 0.7m and 0.4m cubic metres of ready-mixed concrete versus 0.3m.

Executive chairman Peter Tom CBE said: "Trading during the first half was strong, with both the underlying business and recent acquisitions performing ahead of our expectations. March was a record month for the group, with exceptional performances from both England and Scotland.

"Assuming that current trading conditions continue through the second half of 2015, we believe that market expectations for the year will be exceeded."

At 14:48, shares were up 1.9% at 53.50p.

/breedon-aggregates-boss-looks-to-carry-momentum-into-second-half

Breedon Aggregates featured in our weekly round-up of announcements from AIM.

See more at http://tinyurl.com/nfr2eks

IC - more to come.

Jim Slater - Breedon

Breedon is engaged in the quarrying of aggregates together with the production of asphalt and ready-mixed concrete.

The interim results on July 23 were very strong, with profits before tax up by 92pc and earnings per share up by 77pc.

The company said it believed that “market expectations for the year will be exceeded” and added that “several further acquisition opportunities are under review”.

The company’s broker, Peel Hunt, has raised its target price to 60p.

The forward p/e ratio is high at 19 for 2016. However, growth prospects are strong and any further acquisitions are very likely to be earnings-enhancing, so at 52p the shares are a hold.

Time to sell, fully valued.

6 Nov Cantor... 60.00 Buy

I bought before Xmas

Good news released yesterday..

Lots more to come I think ... IMHO


Breedon Aggregates notes contract win

StockMarketWire.com

Breedon Aggregates and Whitemountain have been jointly awarded a contract valued at up to GBP55m to supply and lay asphalt on the GBP745m Aberdeen Western Peripheral Route/Balmedie-Tipperty project (AWPR/B-T).

The 50/50 joint venture will supply and lay more than 500,000 tonnes of asphalt material for the works, which are being constructed by AWPR Construction Joint Venture on behalf of Aberdeen Roads Limited.

The AWPR/B-T is the longest roads construction project currently under construction in the UK, extending from Stonehaven in the south to Tipperty in the north and comprising 55 kilometres of dual carriageway, 22 kilometres of slip roads and 39 kilometres of side roads and accesses.

StockMarketWire.com
Breedon Aggregates has been awarded a contract valued at up to GBP10 million by Wills Bros John Paul JV Limited to supply drystone, ready-mixed concrete and asphalt to the GBP35 million first stage of the A9 dualling project between Kincraig and Dalraddy south of Aviemore.

The five-mile stretch incorporates five new structures, numerous side roads and accesses to local estates. It is the first stage in a GBP3 billion project to transform 80 miles of single carriageway to dual carriageway between Inverness and Perth by 2025.

Breedon is investing heavily in its Meadowside quarry near Kingussie to service the contract and ensure that supplies to its existing customers in the area are unaffected.

The company is erecting a new high capacity concrete plant and a Benninghoven mobile asphalt plant at the quarry, immediately adjacent to the project, to produce the asphalt and concrete thus reducing the environmental impact of truck movements for the project. Breedon will supply substantial quantities of drystone, along with approximately 25,000 cubic metres of concrete and around 100,000 tonnes of asphalt to the project. Work is due to begin later this year and will continue through into 2017.

StockMarketWire.com
Breedon Aggregates posts pre-tax profits of GBP31.3m for the year to the end of December - 46.4% up on last time.

Revenues rose by 18.1% to GBP318.5m and underlying EBIT increased by 55% to GBP37.8m.

Executive chairman Peter Tom said: "2015 was another significant year for Breedon. Our trading performance continued to improve and we again reported record results. We finalised our largest ever contract win and announced the planned acquisition of Hope Construction Materials. We are tremendously excited by the future potential for this business.

"Early in 2016 we were joined by our new Group Chief Executive, Pat Ward, whom I would like to once again warmly welcome to Breedon Aggregates. He succeeded Simon Vivian, who oversaw the successful development of the Group during its first five years and will continue to serve as a non-executive director.

"The outlook for our business continues to be encouraging. The Government remains committed to infrastructure investment and all the relevant forecasting bodies predict modest but sustained growth in construction output over the next few years. This means a steady growth in demand for our products. Against this background, volumes are expected to recover gradually to pre-recession levels by 2020.

"We begin an exciting new era in 2016 with the planned acquisition of Hope and we look forward to the future with confidence."

StockMarketWire.com
Breedon notes the announcement today by the Competition and Markets Authority that it has completed its phase 1 review of Breedon's proposed acquisition of Hope Construction Materials an has concluded there is a realistic prospect of a substantial lessening of competition in a limited number of local ready-mixed concrete markets in England and Scotland.

Breedon says this outcome is in line with its expectations and the company now has a short period during which to offer remedies to address the CMA's outstanding concerns.

Subject to agreement with the CMA on appropriate remedies, Breedon expects to complete the acquisition later this summer in line with previous guidance.

StockMarketWire.com
Breedon notes the announcement today by the Competition and Markets Authority that it has completed its phase 1 review of Breedon's proposed acquisition of Hope Construction Materials an has concluded there is a realistic prospect of a substantial lessening of competition in a limited number of local ready-mixed concrete markets in England and Scotland.

Breedon says this outcome is in line with its expectations and the company now has a short period during which to offer remedies to address the CMA's outstanding concerns.

Subject to agreement with the CMA on appropriate remedies, Breedon expects to complete the acquisition later this summer in line with previous guidance.

broker-upgrade-for-breedon-with-cma-clearance-and-divi-in-sight

Proactive investor - Breedon Aggregates Limited (LON:BREE) has proposed a name change to ‘Breedon Group PLC’.

The change will need shareholder approval, as will the plans to simplify the trading brand of the group to ‘Breedon’

Proactive investor - Breedon Aggregates Ltd (LON:BREE) is expected to report an upbeat first-half performance, at least in England.

Broker Peel Hunt, which has a 'buy' recommendation on Breedon with a 77p target price, said it suspects England will have continued to do better than Scotland in the period.

Peel expects the group to say it remains on track to meet expectations set before its acquisition of Hope Construction Materials, which it announced last November.

Ongoing capital spending programmes will have helped boost profits as should the balance of price rises versus costs.

The broker said: "While 'Brexit' will have affected consumer and corporate confidence levels for embarking on new investment projects, the extent to which it has impacted activity will not be known for a few months.

"Infrastructure work is unlikely to be affected.

"The Hope deal should be completed from the start of August, which means we will have to take one month from our estimates for 2016, but do not see any changes to 2017 figures at this stage."

Half year report
Highlights

· Excellent first-half operating performance, with strong contributions from both England and Scotland

· Underlying EBIT margin improved to 14.0%

· Strong earnings growth and cash generation

· As planned, significant increase in capital expenditure as investment continued in expanding capacity and improving operational efficiency

· Integration planning for acquisition of Hope Construction Materials Limited well advanced and completion of acquisition expected on 1 August (subject to final clearance from the CMA)

· Further bolt-on acquisitions under consideration

· We remain confident of meeting 2016 market expectations