Forterra (FORT) H2 2025 TU earnings summary

Executive summary

• Revenue reached approximately £386m for FY25, representing a 12% increase year-over-year, primarily driven by higher sales volumes.

• Adjusted EBITDA met market expectations, with margin improvement and adjusted PBT and EPS exceeding expectations.

• Strong debt reduction achieved, with net debt before leases down to about £56m from £84.9m in 2024.

Financial highlights

• FY25 revenue of c. £386m, up 12% from £344.3m in 2024.

• Adjusted EBITDA expected at £61.6m, in line with consensus.

• Adjusted PBT and EPS anticipated ahead of market expectations.

• Net debt before leases reduced to c. £56m, with leverage at approximately 1x adjusted EBITDA.

Outlook and guidance

• Uncertainty remains regarding the impact of the late 2025 Budget and December interest rate cut on demand.

• Long-term fundamentals are positive, with housing shortages and government support for increased supply.

• Recent investments in production capacity position the group to benefit from future market recovery.