Ibstock sees FY profits 'modestly ahead' of expectations

Clay bricks and concrete products manufacturer Ibstock lifted its full-year profit outlook on Wednesday as it reported a rise in first-half profit and revenue amid "robust" demand.

In the six months ended 30 June, pre-tax profit was up 32% at £51m, with revenue 28% higher at £259m.

The company said trading was strong despite industry-wide inflation and supply chain issues. It highlighted robust demand in new build residential, repair, maintenance and improvement (RMI) markets and infrastructure markets.

Ibstock said UK construction markets remain solidly underpinned over the medium-term, with a structural housing deficit, healthy mortgage availability and supportive government policy.

Chief executive Joe Hudson said: "We continue to manage inflation and supply chain pressures well and are making good progress with our strategic development plans, with investments in new capacity progressing well, and good momentum in Ibstock Futures, as we focus on the delivery of our ambitious medium term financial targets.

"While we remain mindful of the broader macroeconomic uncertainties, the board now expects to deliver adjusted EBITDA for the full year modestly ahead of the expectations signalled in April."