Ibstock falls into red and sees revenue drop 15% in half-years

Brick firm Ibstock fell to a pre-tax loss and saw its revenue drop 15% in its half-year results.

Interim results for the six months to 30 June 2026 revealed that its revenue had fallen to £164m, down substantially from the £193m recorded in the year prior.

It made a pre-tax loss of £27m - a substantial fall from last year’s pre-tax profit of £8m. 

This was partly attributed to a non-cash impairment charge of £25m taken on soft mud facilities “as market conditions delay market recovery”.

Its adjusted EBITDA figure remained in the black, although this was also down 28% from £36m to £26m.

Ibstock said the adjusted EBITDA figure reflected “headwinds from deliberate management of production and inventory levels coupled with cost inflation that was partially mitigated by cost savings from operational efficiencies”.

The firm said that after a “challenging” first quarter, there had been “improvement in brick volume trends in Q2”

While revenue from clack bricks was down 8%, it said volumes were down “less than the market”. 

It also noted a “continued weighting” towards new-build residential and wire cut, with weaker demand for repair and maintenance and soft mud. Wire cut bricks are more often used for large, modern buildings, while soft mud, which has a more textured look, is generally used on traditional homes.

Ibstock said it was “mindful of the potential near term effects on consumer confidence and the wider construction sector” due to uncertainty around the Middle East and the changing UK political backdrop.

It expects stronger adjusted EBITDA in the second half but said that challenging conditions were expected to remain and that the full-year results would be “around the lower end of current market expectations”.

Company compiled expectations for 2026 adjusted EBITDA is £59m to £68m.