Construction materials group Breedon says it has made an encouraging start to the year, with order intake and volumes following usual seasonal patterns through the first three months of 2022.
The group says that end markets remain supportive, leading to reported and like-for-like revenue growth of 16% over the first quarter of 2021.
It adds that acceptance of rising input costs, and the increasingly dynamic price environment across all major product groups, has enabled full cost recovery through the quarter and is encouraging.
Breedon also confirmed that its 37.5% associate, BEAR Scotland, has retained responsibility for Scotland’s North West trunk roads for at least another eight years. The group said that this will maintain supply relationships and long term visibility for its Scottish surfacing business.
CEO Rob Wood commented on the group’s performance in the first quarter: “We recognise that international events have increased macroeconomic uncertainty. Nonetheless, we are encouraged that our end markets, particularly infrastructure and housing, remain supportive and we have successfully recovered input cost inflation in the first quarter through dynamic pricing.
“Our business offers a natural hedge against inflation and we remain confident in the resilience of our local operational model. Normal seasonal patterns of activity are evident with orders and enquiries increasing throughout the quarter and we continue to trade in line with management expectations.”
Breedon will announce its interim results for the six months ending 30 June 2022 on Wednesday 27 July 2022.
