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SIG PLC on Tuesday said it is cautious on the prospect of a ‘meaningful market improvement’ during the rest of 2025 as its loss widened and revenue fell in the first half of the year. The Sheffield, England-based building materials firm said revenue was down 0.9% to £1.30 billion in the six months to the end of June from £1.32 billion a year ago. SIG said revenue grew 1% on a like-for-like basis amid ‘continued market outperformance’. The pretax loss widened to £33.1 million from £11.3 million. Cost of sales fell 0.3% to £989.0 million from £992.2 million, but other operating expenses were up 2.2% to £321.0 million from £314.0 million. The basic loss per share widened to 3.0 pence from 1.2p. SIG said the ongoing impact of productivity initiatives partially offset continued softness in market demand. The company left its full year outlook unchanged. ‘Having seen no notable pick-up in demand during the period, the board remains cautious as to the prospect of meaningful market improvement during the second half,’ SIG warned. It said productivity and efficiency actions, along with ‘strong commercial focus’ will continue to support improving performance in the meantime. SIG said it is ‘very well positioned’ to benefit from the market recovery when it occurs, as its operational gearing ‘applies equally strongly in conditions of rising demand’. No interim dividend will be paid for 2025. The firm reiterated its intention to reinstating its dividend once it is in a position to do so. ‘The group’s robust trading results in the first half reflect continuing outperformance of markets that remain subdued,’ said Chief Financial Officer Ian Ashton. ‘Cost, productivity and cash initiatives have remained a key focus in the period, as has the ongoing implementation of strategic and operational improvements that are positioning the group to win in the long term. These actions have benefited the first half and underpin the anticipated outcome for the year, and as such our outlook for 2025 remains unchanged.’ He added: ‘We continue to make good progress in creating better performing businesses across the group, which will help to significantly improve our future profitability and cash generation when markets recover.’ Shares in SIG were down 5.7% at 12.80p each in London on Tuesday afternoon. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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