BRCK Group (BRCK) Trading Update summary

Financial performance

• Revenue exceeded £330 million for H1 2024, up 2% year-on-year but down 7% on a like-for-like basis.

• Adjusted EBITDA for the period is expected to be at least £27.5 million, compared to £25.6 million in H1 2023.

• Net debt as of 30 September 2024 is estimated at £56 million, after over £8 million in acquisition-related payments.

• Full-year financial expectations remain unchanged.

Divisional trends and business drivers

• Bricks and Building Materials and Importing divisions saw lower revenue and volumes, reflecting broader new build housing trends.

• Distribution division returned to growth, with solar PV sales in Upowa doubling.

• Recently acquired cladding and fire remediation businesses delivered a strong first half, with contracting performance expected to be first half weighted.

Market outlook and order book

• New build housing, residential, and commercial RMI markets remain subdued, but positive momentum is seen in brick order intakes.

• Forward order book for H2 is well-balanced, supported by increased product inquiries and improving market sentiment.

• Leading indicators suggest a potential recovery in the current financial year.