Demand for bricks has fallen at firm with factory site in Cradley Heath
Brickmaking group Forterra has seen a fall in demand for its clay and concrete building products in the last three months.
The group, which includes the Cradley Special Brick factory on Corngreaves Trading Estate, Cradley Heath, said that signs of market improvement seen in May and June did not continue into the second half of its financial year.
Market demand deteriorated in July and August with August weaker than July.
Foirterra said this continued in September.
It anticipates demand to remain at the levels which experienced over the past quarter for the rest of the year and expects full year earnings before tax will be below previous expectations.
Forterra has taken steps to align production levels with market demand. Consultation is currently underway on the mothballing of a brick factory at Claughton in Lancashire along with cuts to production in its Aircrete business.
It is working on the assumption that 2024 demand will be at a similar level to 2023 and will look to align production output with this level of sales.
