UK-based Breedon Group has reported a revenue of GBP1,045m in the first 10 months of the year, up 31 per cent against the same period in 2019, according to its November trading update. On a like-for-like basis, revenue increased 15 per cent from the 10M19 period.
“Breedon has continued to benefit from strong end markets, with demand levels remaining encouraging across the group. Trends evident in the first half have persisted with momentum in residential housebuilding and infrastructure spending continuing to drive volume growth. Ireland continued to gain traction during the second half following the lifting of Government restrictions on non-essential construction,” said the company in the update.
Its layered hedging policy has reportedly mitigated key cost pressures, while delivering visibility of energy and carbon costs. Allowing for the natural lag to implement price adjustments, it has secured a full cost recovery in the second half, leading to margin improvement.
“Underlying EBIT performance for the 2021 full year will now be stronger than we expected and, assuming no adverse weather events, will be slightly above the upper end of the range of market expectations,” said the company.
