(Alliance News) - Ibstock PLC on Wednesday reported a strong rebound in 2021 with a dividend topping pre-pandemic levels in a show of confidence as positive trading momentum continues.
Ibstock shares were up 6.0% to 163.30 pence each in London on Wednesday morning.
The Leicester, England-based clay and concrete manufacturer reported pretax profit of GBP64.9 million in 2021, returning from a loss of GBP23.9 million in 2020.
The swing to profit was helped by a 29% spike in revenue, which came in at GBP408.7 million from GBP316.2 million.
In 2019, Ibstock had posted revenue of GBP409 million and pretax profit of GBP82 million.
Chief Executive Joe Hudson put the good results down to continued robust demand across the company's markets and strong operational execution.
"Despite market-wide challenges arising from cost inflation and supply chain pressure, we have delivered a result ahead of the Board's expectations, and are well positioned for future growth," he said.
Turning to shareholder payouts, Ibstock declared a final dividend of 5.0p per share. This brought the year's total annual payout to 7.5p, dwarfing 2020 one and only payout of just 1.6p. In 2019, the year's payout was 3.2p per share.
Trading in the early weeks of 2022 has started well, the company said, with a positive demand outlook across end markets.
Ibstock said: "Whilst we remain mindful of the broader macroeconomic uncertainties, particularly in light of the tragic conflict in Ukraine, we have made a good start to 2022, with a robust demand backdrop across end markets.
"This positive momentum, along with additional brick capacity coming on stream during the 2022 year, provides us with a strong platform to deliver significant further financial and strategic progress in the current financial year."
By Greg Roxburgh; gregroxburgh@alliancenews.com
Copyright 2022 Alliance News Limited. All Rights Reserved.
Ibstock (IBST)