Michelmersh Brick Holdings PLC, a UK-based specialist brick manufacturer and fabricator, released its half-year results for the six months ended 30 June 2025. The company reported a 1.1% increase in revenue to £35.8 million, driven by higher UK despatch volumes, despite challenging European markets. However, profit metrics declined due to factors like a highly competitive pricing environment, increased input costs, and a one-off impact from a two-week shutdown at the Carlton facility.
**Financial Highlights**
Revenue£35.8 million (up 1.1% from £35.4 million in 2024)
Operating profit£3.0 million (down 26.8% from £4.1 million)
Profit before tax£2.9 million (down 29.3% from £4.1 million)
Basic earnings per share2.47p (down 26.7% from 3.37p)
Net cash£1.5 million (down from £4.1 million)
**Strategic and Operational Highlights**
UK despatch volumes outperformed the market, which remains c.25% below 2022 peak levels.
Order intake was strong, running ahead of manufacturing volumes.
A two-week shutdown at Carlton impacted profits, but normal operations resumed in H2.
Belgium market challenges led to a temporary production halt at Floren in Q3, with a planned Q4 restart.
Active management of input costsincluding energy hedging.
Strong balance sheet with a new £20 million borrowing facility.
Interim dividend maintained at 1.60p per share.
CEO transitionPeter Sharp stepped down, replaced by Ryan Mahoney.
Rachel Warren appointed as new CFO.
**Outlook**
Expect full-year FY25 performance to be broadly in line with FY24, with growth anticipated in 2026.
Focus on maintaining a balanced order book, competitive pricing, and efficient operations.
Continued investment in manufacturing sites and shareholder returns through dividends and buybacks.
Despite short-term challenges, Michelmersh remains confident in its long-term prospects, underpinned by positive market fundamentals in the UK and Belgium, and its strong position in the premium brick market.