Brickability eyes deal strategy to enhance proposition

Brickability Group PLC businesses are focussed around three core product areas; Bricks and Building Materials, Roofing Products and Services as well as Heating, Plumbing and Joinery.

The group distributes, and in many cases installs superior quality and strategically important building materials from major UK and European manufacturing partners, providing product solutions to both private and commercial specifiers, contractors, developers and builders.

The group is a market leading supplier of facing bricks, blocks, rainscreen cladding systems, architectural masonry, paving, roof tiles and slates to the construction industry.

() reported a 200% year-on-year rise in first-half revenues as the construction materials specialist confirmed its order book remained buoyant and that it is “well placed as demand continues to strengthen”.

Chairman John Richards added: “The UK housebuilding market has shown its resilience in recent months as the UK builds new homes at one of the fastest rates since the turn of the century.

“Brickability, as one of the UK’s leading materials distributors, is well-positioned to benefit from the growing demand for materials and has the supply and logistics capabilities to meet the market’s needs. We remain cautiously optimistic for the future.”

This cautious optimism was founded on a strong start to the year as Brickability said revenue for the six months ended September 30 would be around GBP223mln, up 300% on the year-earlier. Excluding acquisitions, growth was 54%. Underlining progress, turnover was 31% up on the pre-pandemic number.

Brickability Group PLC (AIM:BRCK) (AIM:BRCK) highlighted a strong recovery since the initial Covid-19 lockdown as it reported results for the twelve months ended March 31.

Group revenue for the year was reported at GBP181.1mln, versus GBP187.1mln in the prior year, and the group noted that like-for-like revenues declined by 13.2% due to restrictions on trading during the period. Earnings (adjusted EBITDA) meanwhile totalled GBP17.5mln, compared to GBP19.5mln in 2020.

Brickability Group PLC (AIM:BRCK) said it has acquired roofing contractor Leadcraft Ltd in a deal worth GBP5.5mln.

The construction materials group said Leadcraft provides a full range of roofing services including tiling, slate, zinc, copper, felt and lead works and will be the firm’s twelfth strategically significant acquisition in the last three years.

‘s () () John Richards joins Proactive London to talk about the company’s 200% year-on-year rise in first-half revenues.

Richards points to the very strong housing market, which he says has shown resilience in recent months as the UK builds new homes at one of the fastest rates since the turn of the century.

He says Brickability is well-positioned to benefit from the growing demand for materials and has the supply and logistics capabilities to meet the market’s needs.

Brickability is a leading supplier of bricks and other building materials to the UK construction industry, and is well-positioned to consolidate the fragmented UK building products supplier space. The company has undertaken four acquisitions since its IPO in 2019, which adds to some twelve acquisitions carried out previously in the years since it was founded in 1984. As a result of this acquisition process, the group has branched out from its core bricks and building materials distribution into the adjacent areas of roofing products and services as well as heating, plumbing and joinery. These moves make compelling strategic logic, as the divisional businesses enjoy a common customer base, and hence provide a simpler procurement process for its customers. Further, the new areas also enjoy significantly higher margins.