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Ibstock PLC on Tuesday said it expects to report 2025 profit in line with expectations, though it cautioned on a ‘subdued’ backdrop and market conditions that tougher as the year progressed. Ibstock shares were down 4.4% to 130.19 pence each in London on Tuesday morning, the worst FTSE 250 performer. The Leicestershire, England-based building products supplier said revenue in 2025 rose some 1.6% to around £372 million from £366 million. It sees earnings before interest, tax, depreciation, and amortisation in line with previous guidance. In October, the company predicted a second half adjusted Ebitda ‘similar’ to the £36 million achieved in the first half. The adjusted Ebitda in 2024 totalled £79 million, an on-year decline of 26%. Ibstock said the market backdrop got ‘progressively more challenging’ over the course of last year. The total brick market volumes picked up on-year to 1.85 billion in 2025, from 1.72 billion in 2024, but still ‘materially below’ 2022’s 2.5 billion, Ibstock said. ‘The group’s clay market share in the 11 months to November was ahead of the comparative period. Performance during Q4 benefitted from cost reduction action and stable pricing,’ the firm said. ‘Decisive cost action has been taken to reduce headcount and right-size overall Group capacity to near-term market dynamics. The network retains ample capacity to respond to any market recovery and we will continue to actively manage resources in the year ahead, as conditions evolve. We continue to take a disciplined approach to capital allocation, taking the decision in Q4 to sell a number of surplus land assets and our Forticrete roofing sites.’ Looking ahead, Ibstock said it expects the residential construction and repair, maintenance and improvement markets to ‘remain subdued’ in the near-term. It predicted some modest on-year volume growth in the second half of 2026 as markets recover. The firm said pricing actions are expected to offset the impact of cost inflation. ‘Reflecting our current view of the market, we will be actively managing production volumes and inventory in the first half, which will create a margin headwind for 2026, but benefit overall cash generation,’ Ibstock said. ‘The board remains confident in the medium-term prospects for the business, although the pace and timing of the recovery remain uncertain.’ Ibstock announces annual results on March 5. Copyright 2026 Alliance News Ltd. All Rights Reserved.
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