Ibstock has posted a 10% fall in its full-year revenue to £366m after citing “subdued demand” through 2024.

Shares in Ibstock did however rise by more than 8% after the group published its results, in which it forecast improved trading on the back of a strengthening housebuilding sector.

Ibstock, which manufactures clay bricks and concrete products, reported a pre-tax profit of £21m for the period covering the 12 months to 31 December 2024, which it said marked a “resilient” performance in subdued market conditions.

The manufacturer’s adjusted EBITDA of £79m came in at a “robust” margin of 21.7%, it said, which was in line with expectations amid reduced sales volumes.

Ibstock also stated that it has “major” capital investment projects close to completion, with capacity in place for a market recovery.

The company’s CEO, Joe Hudson, said: “We expect an improvement in market volumes in 2025, with momentum building through the year. Ibstock is well-positioned for a market recovery, and the fundamental drivers of demand in our markets remain firmly in place.

“We see a significant opportunity for a new era in housebuilding in the UK and with the investments we have made and our market leadership positions, the group remains well placed to support and benefit from this over the medium term.”

Equity analyst at Hargreaves Lansdown, Aarin Chiekrie, added: “Affordability pressures have led to a subdued housing market and weak end demand for Ibstock’s products, which saw the brickmaker’s full-year revenue and profits fall at double-digit rates.

“While it’s still early days, there are some signs of life returning to the newbuild market, which has already contributed to an uptick in Ibstock's volumes in the early weeks of 2025. If the markets are right about two more rate cuts this year, mortgage affordability should see a slight boost – potentially fuelling further demand for Ibstock’s products.”

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