Ibstock says first quarter sales climbed on stronger housing demand
Ibstock PLC on Wednesday said its first quarter sales volume and revenue were ‘well above’ the prior year and in line with expectations.
The Leicestershire, England-based building products supplier said trading conditions improved in the first quarter of 2025 due to increased demand in new build residential construction markets and a ‘relatively weak comparative’ in 2024.
Ibstock said the overall earnings before interest, tax, depreciation and amortisation margin percentage in the first quarter was below the previous year, as expected.
It said this reflected the impact of cost inflation ahead of pricing actions taken, sales mix and additional investment in the factory network.
The firm said it started to capture the benefit from price increases towards the end of the first quarter, but prices in the period were adversely impacted by sales mix, given a stronger market recovery in new build residential markets.
Progress remains ‘on track’ in its organic growth projects, as it noted that production volume at the Atlas site increased in line with expectations, Ibstock said.
The company said ‘good progress’ has been made in the construction of a larger ceramic facades systems factory at the Nostell site, which is on track for commissioning by the end of 2025.
It left full-year expectations unchanged, as it expects performance to be weighted towards the second half.
Chief Executive Officer Joe Hudson said: ‘The group has made a solid start to the year against a backdrop of improving market conditions... We continue to maintain both a tight focus on costs and our disciplined approach to pricing.
‘With our growth projects on track, and having completed a programme of investment in our factory network over recent years, we remain well-placed to respond to the significant unmet demand for new homes in the UK.’
Shares in Ibstock were up 0.8% to 176.00 pence in London on Wednesday morning.
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