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SIG PLC on Thursday reported a drop in sales during 2024, but anticipates profit in line with market expectations. The Sheffield, England-based supplier of insulation and building products said like-for-like sales revenue was £2.61 billion in the 12 months to December 31. This is 4% lower than the £2.76 billion figure reported in 2023. ‘Whilst weak demand has continued to be a factor in the majority of the group’s markets, reflecting the ongoing softness in the European building and construction sector, LFL performance improved sequentially in H2 as expected, and in Q4 compared to Q3,’ SIG said. SIG has predicted full-year underlying operating profit of around £25 million, in line with market expectations cited of £25.2 million. Full-year revenue is estimated at £2.61 billion, down from £2.76 billion the year prior. Cash generation has fallen alongside profit, with year-end gross cash balance projected at £87 million versus £132 million year-on-year. The company estimated that restructuring and productivity schemes helped cut year-over-year expenses by £31 million. Ongoing cost reduction measures are expected to ‘drive higher profitability as markets recover’, according to SIG. The company maintained that liquidity is healthy, and that its financial position is more certain, following closure of a refinancing deal in October. SIG added that a £90 million revolving credit facility was still undrawn at December 31. ‘Whilst we expect continued softness in market conditions, at least through the first half of 2025, we are confident in our ability to manage through this current phase of the cycle, whilst also strengthening our operations,’ said Chief Executive Officer Gavin Slark. ‘We remain ready to take advantage of the significant long-term opportunities for the Group as markets recover.’ SIG’s full-year results are scheduled for release on March 5. SIG shares were trading in line with the morning’s open at 15.20 pence each at midday in London. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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