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SIG PLC on Tuesday said it expects to report higher profit for 2025, in line with market expectations amid an ongoing cost reduction programme. The Sheffield, England-based building materials firm said it ‘continued to perform well relative to its markets’ during the second half of 2025, helped by its cost reduction and efficiency programmes. ‘Whilst these initiatives are helping support near-term performance, they are also strengthening the group’s commercial and operational capability, which will help drive higher profitability as markets recover,’ the firm said. SIG expects to report 2025 revenue of £2.6 billion, compared to £2.61 billion in 2024, with underlying operating profit of around £32 million, up £7 million from the prior year. It said reported operating expenses for 2025 are expected to fall around £20 million from 2024, which represents an underlying reduction of £39 million, or 6%, before inflation and foreign exchange. The company said restructuring initiatives delivered approximately £18 million of savings compared to the prior year. SIG said reported sales were 1% lower in 2025, which included a net 1% negative impact from the combined effect of exchange rates, the number of working days and branch closures and openings during the year. ‘Subdued demand has persisted across the group’s markets throughout the year and softened further in the final months of the year in several geographies, notably the UK, Germany and Ireland,’ the firm said. Demand in all markets remains ‘well below historical levels’, as SIG said European construction is at a ‘low point in the cycle’ with longer than expected delays to the start of ‘meaningful recovery’. ‘Against this backdrop, our businesses continue to outperform and in almost all cases take share within their end markets,’ it said. ‘In 2025 the group delivered a robust trading performance in continued difficult market conditions,’ said Chief Executive Officer Pim Vervaat. ‘SIG is well positioned in markets that continue to have strong long-term growth drivers. The operating leverage benefits when markets return to growth will be significant, and further opportunities for self-help have been identified, including through procurement.’ Shares in SIG were down 1.5% at 9.51 pence around midday on Tuesday in London. Copyright 2026 Alliance News Ltd. All Rights Reserved.
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