Forterra plc Trading Statement (2411G)
24 November 2020 - 6:00PM
UK Regulatory
TIDMFORT
RNS Number : 2411G
Forterra plc
24 November 2020
24 November 2020
FORTERRA PLC
TRADING STATEMENT
Forterra plc, a leading UK producer of manufactured masonry
products, provides this trading update for the four months ended 31
October 2020.
Trading and operational update
Trading in September and October exceeded our previous
expectations, with brick and block revenues at 95% of the
comparable prior year period. The recovery within the Bespoke
Products division has also been sustained, with sales of our
precast concrete floor beams remaining robust.
Trading has continued in a similar pattern through November,
despite the start of a second national lockdown in England. Demand
for our products has not been adversely affected with housebuilders
encouraged to continue both the building and selling of homes, and
builders' merchants remaining open to support tradesmen who are
permitted to work on customers' properties. Production at our
facilities, except the mothballed hollowcore flooring facility at
Swadlincote, is running at pre-pandemic levels. As a result, the
Board now anticipates 2020 EBITDA, stated before exceptional items,
to be at least GBP34m, above the previously communicated range of
GBP27m-GBP32m.
The construction of our new brick factory at Desford continues
to progress although the recent insolvency of a supplier of
manufacturing equipment and continued restrictions on travel from
continental Europe have presented a number of challenges.
Discussions with alternative suppliers are at an advanced stage and
despite these challenges, at this time we continue to believe that
the project can be delivered on time and on budget.
FY20 dividend
The Board remains confident that the Group is well placed to
benefit from the strong long-term fundamentals of the residential
construction market. Similarly, the Board has been encouraged by
the recent recovery in trading and the generation of operating
cashflow this has delivered. Accordingly, provided there continues
to be no significant disruption to operations from the second wave
of COVID-19, the Board now expects to recommend a final dividend
for 2020 ahead of the 2021 AGM.
This announcement contains inside information for the purposes
of article 7 of the Market Abuse Regulation (EU) No 596/2014.
ENQUIRIES
Forterra plc +44 1604 707 600
Stephen Harrison, Chief Executive Officer
Ben Guyatt, Chief Financial Officer
FTI Consulting +44 203 727 1340
Richard Mountain / Nick Hasell
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
TSTEAPFDAEXEFFA
(END) Dow Jones Newswires
November 24, 2020 02:00 ET (07:00 GMT)
Forterra (LSE:FORT)
Historical Stock Chart
From Apr 2024 to May 2024
Forterra (LSE:FORT)
Historical Stock Chart
From May 2023 to May 2024