In its AGM trading update, Breedon Group reported a nine per cent increase in 1Q25 revenue as the company benefitted from contributions from the BMC and Landmark acquisitions. However, adverse weather conditions, particularly in the USA, affected group activity, and as a result, like-for-like revenue only increased marginally with a slight improvement in volumes and broadly stable pricing, said the company. 

In Great-Britain elevated enquiry levels supported volumes across all key product groups, which were slightly ahead of the 1Q24. The tendering season in Ireland was busy but delays in certain key infrastructure projects saw lower volumes when compared with the 1Q24. Below-freezing temperatures in the USA impacted volumes but Breedon closed the quarter with healthy backlogs after securing encouraging pricing for the construction season. Following the Lionmark acquisition, its integration is now proceeding according to plan. 

The company's cement business completed two scheduled kiln maintenance shutdowns, on time and within budget. In addition, there were further advances in the use of alternative fuels and the provision of lower-clinker content products. The ARM project at Hope and the bagging plant and solar farm at Kinnegad are nearing completion and are expected to be commissioned in the 2Q25. Cement volumes were slightly lower in the period.

Breedon Group's CEO, Rob Wood, said: “In the first quarter we have grown our revenues and delivered on our strategic objectives against an increasingly uncertain economic backdrop. Although weather conditions were again challenging, underlying levels of demand remained supportive. We welcomed our new Lionmark colleagues to the Group and the acquisition has increased our vertical integration and diversified our US exposure towards infrastructure and growing state road maintenance budgets.

“The very nature of our business, supplying local products to local businesses, provides some insulation in the current economic climate. While the Board’s expectations for 2025 remain unchanged we have enhanced our focus on self-help, driving operational and commercial excellence, further unlocking efficiencies and optimising capacity. While visibility is reduced, we remain optimally positioned to benefit when construction market activity improves.”