Breedon Group PLC

BREE

Equity

ISIN GB00BM8NFJ84 / Valor 126138223

LSE London Stock Exchange, SETS (2026-09-11)

GBP 3.27+1.36%

Breedon Group PLC
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About company

Breedon Group PLC is a UK‑based listed construction materials and contracting business headquartered in Breedon-on-the-Hill that produces and supplies bulk building materials and road‑building products to the construction and infrastructure markets. Its operations include quarrying and the production and distribution of aggregates, asphalt, coated roadstone and ready‑mix concrete, together with cementitious and other building products, supported by a network of plants, depots and haulage/logistics services; it also provides specialist surfacing and contracting services for highways and civils projects. The company has grown through a series of regional acquisitions and serves housebuilding, commercial construction and public‑sector infrastructure customers across the UK and Ireland.

Summarized from source with an LLMView SourceSector: Industrials

Key financials

Revenue £857.9m (+5% vs H1 2025, +3% LFL); Underlying EBITDA £115.5m (flat; +1% LFL); Underlying profit before tax £41.3m; statutory profit before tax £26.7m after £14.6m non‑underlying items; Adjusted underlying EPS 9.4p (H1 2025: 11.2p); statutory basic EPS 7.4p. ROIC 7.0% (down 0.8ppt).

Regional performance

Great Britain: revenue flat at £556.3m, Underlying EBITDA £81.1m (‑3%); residential volumes weak but some infrastructure wins. Ireland: revenue £154.3m (+12%; +9% LFL), Underlying EBITDA £27.9m (+3%). United States: revenue £152.2m (+20%; +13% LFL), Underlying EBITDA £13.8m (+6%; +14% LFL), benefitting from better weather, price progression and acquisitions.

Volumes and margins

Aggregates volumes 15.0Mt (+8%); Asphalt 2.0Mt (+6%); Cement 0.9Mt (‑3%); Ready‑mixed concrete volumes softer. Group Underlying EBITDA margin 13.5% (down 0.6ppt year‑on‑year; down 0.3ppt LFL).

M&A and capital deployment

£110m of bolt‑on capital deployed in US and Ireland (notably Falling Springs, enterprise value ~£90m, and Booth). Falling Springs integration progressing; acquisitions are earnings‑accretive and part of stated capital allocation priority: US, Ireland, GB.

Cash, debt and liquidity

Free cash flow outflow £14.6m in H1; acquisitions £106.9m. Net debt £690.5m (up vs H1 2025) and covenant leverage 2.1x (improved from 2.2x); Group remained covenant‑compliant and extended the £400m RCF to July 2030. Issued a US$40m USPP to support Falling Springs financing.

Dividend and capital return

Interim dividend increased 5% to 5.00p per share (cash cost £17.4m). Payout ratio ~53% (up from 42% at June 2025), above the stated 40% financial framework target for the period.

Guidance and outlook

Board maintains guidance: expect 2026 performance in line with market expectations (company‑compiled analyst consensus FY Underlying EBITDA c. £280m). Positive momentum expected in Ireland and US in H2; GB construction demand expected to decline for a fifth consecutive year, with infrastructure as a partial offset.

Risk mitigation and other items

Hedging programme and contract escalators have limited near‑term impact from the Middle East conflict on energy/bitumen costs. Non‑underlying items £14.6m (including £10.9m amortisation of acquired intangibles and £2.3m cement decarbonisation costs). Launched “Back British Cement” campaign advocating policy support for domestic cement production.

Summarized from source with an LLMView Source

Key figures

-11.5%1Y

-6.19%3Y

-33.6%5Y

Performance

29.9%1Y

27.1%3Y

28.5%5Y

Volatility