Michelmersh Brick confident despite market challenges

23rd Nov 2023 12:34

(Sharecast News) - Michelmersh Brick Holdings said in a trading update on Thursday that, despite ongoing challenges in the construction industry and the broader economy, it saw resilience in its performance during the final quarter of the financial year.

The AIM-traded firm said that, in light of its half-year results announced in September, it had maintained total manufacturing capacity to meet its diverse forward order book.

It said the persistent contraction in the construction sector and challenging economic conditions impacted consumer sentiment and demand within the company's target markets.

To navigate those challenges, the company remained committed to controlling input costs and optimising operational efficiency at its facilities.

Michelmersh Brick attributed its trading resilience to the diversity of its customer base and the wide range of product channels it serves.

Additionally, the board said that the quality of its opening order book at the start of the second half played a crucial role in supporting its performance.

"The group remains resolutely focused on delivering an excellent product and service to our customers, and with our resilient trading, the board expects revenue, profit and cash for the group to be in line with market expectations for the 12 months ending 31 December," the company's board said.

Michelmersh said it intended to announce its full 2023 results on 26 March next year.

At 1214 GMT, shares in Michelmersh Brick Holdings were up 0.62% at 81.5p.

Reporting by Josh White for Sharecast.com.