Breedon Q1 revenues drop amid macro uncertainty, wet weather
Breedon Group
373.50p
16:35 03/05/24
Construction material group Breedon said on Wednesday that trading had been impacted by wet weather conditions throughout the first three months of the year, leading to a fall in quarterly revenues.
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Breedon said trading during the first quarter was impacted by the ongoing macroeconomic uncertainty and reduced construction activity due to wet weather conditions. Although this brought about "softer volumes", Breedon said these were partially offset by resilient pricing.
As a result, revenue reduced by 5%, or 9% on a like-for-like basis, when compared to the first quarter of 2023.
Chief executive Rob Wood said: "I am encouraged by our strategic progress in the first quarter. Whilst there were fewer trading days due to the timing of Easter, and it was impacted by exceptionally wet weather, seasonally it is the least significant trading period for Breedon and our industry.
"We have laid good foundations for the remainder of the year; progressing pricing, pursuing efficiencies, completing two bolt-on acquisitions and launching our third platform by entering the US market. Although the economic landscape remains uncertain, I am confident our discipline and focus, coupled with our strong customer relationships, will see us deliver against our unchanged expectations for 2024."
As of 0925 BST, Breedon shares were down 3.43% at 366.95p.
Reporting by Iain Gilbert at Sharecast.com