Production of carbon neutral bricks to start at Aldridge

In the first three months of this year the group has made a good start despite a subdued demand environment in both the residential new build and repair, maintenance and improvement markets.

Earnings before tax in the first quarter were marginally ahead of expectations.

The group continued to experience cost inflation, but the pace of increase was more modest than the levels seen in 2022.

Ibstock has hedged around 95 per cent of energy requirements for the first half of 2023, and around 75 per cent for the full year, but at prices above the previous year's levels.

Ibstock's growth initiatives – the Atlas, Aldridge and Nostell capital investment projects – are all progressing well.

Chief executive Joe Hudson said: "Our major organic growth investments remain on track, with our pathfinder factory at Atlas expected to deliver the UK's first carbon neutral verified bricks by the end of the year nd Ibstock Futures continuing to build capability and scale.

"We remain confident in our ability to respond effectively to trading conditions, and to deliver a full year performance in line with market expectations."

Ibstock’s Atlas and Aldridge brick manufacturing growth projects are set to deliver more than 100 million bricks of lower-cost capacity a year, with the whole Atlas range to be externally verified as carbon neutral.

£60m has been invested in the clay brick factory on Stubbers Green Road, Aldridge. The adjacent brick factory in Coppice Lane is also being upgraded.

Its Ibstock Futures brick slip systems operation is to open a state-of-the-art innovation centre in the West Midlands in the first half of this year. A site has been secured on a long-term lease.

Ibstock has 16 clay brick manufacturing sites and 18 quarries. It also produces brick components, concrete roof tiles, concrete alternatives for stone masonry, concrete fencing and pre‐stressed concrete products.

The Group is made up of two core business divisions Ibstock Clay and Ibstock Concrete, with Ibstock Futures established to accelerate diversified growth opportunities.

Ibstock Concrete has 14 manufacturing plants in the UK.