Breedon Group - April 2018

Breedon Group, which in 2017 generated a turnover 43.5 per cent higher at GBP652.4m (EUR750.5m), produced EBITDA 39.8 per cent ahead at GBP117m (EUR134.6m) and a pretax profit of £71.2m (EUR81.9m), representing an increase of 52.1 per cent. Aggregates volumes increased by 40.4 per cent in 2017 to 16Mt, while ready-mixed concrete deliveries advanced by 73.7 per cent to 3.3Mm³. Asphalt remained stable at 1.9Mt.

A GBP16.5m (EUR19m) deal was concluded with CRH in the early part of 2018, whereby Breedon acquired four quarries and an asphalt plant in Britain in exchange for 27 ready-mixed batching plants and £4.9m (EUR5.6m) in cash. However, the Competition Authority has raised objections as regards the supply of ready-mixed concrete in three areas and some adjustments to the deal will be required.

Following the conclusion of the GBP455m (EUR523.4m) deal to acquire the Irish Lagan Group, expected during May, the enlarged Breedon Group will consist of two cement plants with a combined capacity in excess of 2Mta, six marine terminals, 69 active quarries, 201 ready-mixed batching plants, 39 asphalt plants and two slate production facilities and other assets. Lagan Group last year increased turnover by 2.5 per cent to GBP249m EUR286.4m). EBITDA advanced by 27.8 per cent to GBP46m (EUR52.9m).