Breedon Aggregates has reported a rise of 19% in interim profits as part of a solid performance in the first half of the year, while sales have remained the same as last year and debts have been eliminated. For the first six months to June 30 2016, the company’s revenue
The London Thamesport site will see the construction of a new aggregate facility later in the year. The Armitt Group, a shipping agent and break bulk specialist, will construct the new multimodal terminal for construction aggregates and has now signed a head of terms agreement with Hutchinson Port Holdings (HPH),
Breedon Aggregates has reported a rise of 19% in interim profits as part of a solid performance in the first half of the year, while sales have remained the same as last year and debts have been eliminated. For the first six months to June 30 2016, the company’s revenue rose by 2% up to £163.0 million (2015: H1: £160.5 million). In the first half of the year, the firm sold 0.5 million m3 of ready-mixed concrete (2015: 0.4 million m3), 0.9 million tonnes of asphalt sold (2015: 0.9 million tonnes) and 4.6 million tonnes of aggregates (2015: 4.5 million tonnes), while profit before tax for the period went up by almost 20% to £20.9 million (2015 H1: £17.5m). At the same point last year, the company had a net debt of £58.3 million, but a year later it had a net crash of £17.6 million. These results are likely to be revealed by the firm ahead of its £336 million acquisition of Hope Construction Materials, which is due to be complete on August 1 2016. Peter Tom, Executive Chairman of Breedon Aggregates, said that the company has delivered an excellent operating performance in the first half of the year, with both of their businesses improving revenues, making strong contributions and EBIT margins. Tom added: “Whatever the prognosis for the UK economy, we remain confident that we can continue to generate value for our shareholders. “We have some major contracts which will help to underpin our performance during a period of uncertainty, along with a strong balance sheet and a record of strong cash generation in challenging markets.” He also said that the company has shown its ability to deliver a strong performance through determined self-help and that they will maintain this discipline regardless of market conditions, while he also commented that the company remains confident of meeting its market expectations for the rest of the year.
The London Thamesport site will see the construction of a new aggregate facility later in the year. The Armitt Group, a shipping agent and break bulk specialist, will construct the new multimodal terminal for construction aggregates and has now signed a head of terms agreement with Hutchinson Port Holdings (HPH), the owner of the port. It is expected that construction will being in the autumn and freight could start moving through the new construction in early 2017. The facility will be known as Armitt Multimodal Terminal South and is the first in a planned three stage investment by The Armitt Group to develop similar sites in the north of the UK and the midlands over the course of the next three years. Armitt Group Commercial Director, Nicholas Marshall, said that this is an excellent chance to open a new supply chain corridor service to Far Eastern and European markets and the facility will also be a key link in the company’s plans to develop a fully integrated supply chain throughout the UK. He added: “As we are break bulk handling professionals, it will benefit our aggregate clients as we will be able to manage the whole supply chain on their behalf and Thamesport, with its excellent deep water, rail-connected and un-congested facility is an important link in that chain.” The group also has plans to handle further breakbulk cargo from the port and is currently in discussions with the Hutchinson Port Holdings Group to secure a further area of up to eight acres to handle shipments of aggregates for consumption across the M25. Armitt said that Thamesport was chosen because of the site’s excellent rail and road communication links along with its deep water berths. In May, Armitt announced the construction of a 120,000 sq m multimodal terminal at the London Thamesport site, which is expected to begin handling cargo by the end of this year.
