SIG profits decimated by bad weather
A European specialist construction parts company headquartered in Sheffield has reported revenue and profit down from last year.
SIG plc, who provide products for the insulation and energy management sector, for interior fit outs and roofing, saw profit fall over £12m to £20.2m, and revenue fall over £15m.
The results indicate performance for the six months ended 30th June, compared to the same period in 2012, was affected by the extended winter and weak market conditions.
Commenting, Stuart Mitchell, chief executive, said: “The Group’s first half performance was adversely affected by the extended winter and weak market conditions.
“In response we have taken prompt action to reduce fixed and discretionary costs. Trading improved in May and June as the weather reverted to seasonal norms and July was consistent with this trend.”
He added good progress is being made and prompt action has been taken to save £3.9m this year. Sales have continued to improve through July, despite being down 3.5% on last year.
Mitchell said: “While there are signs that market conditions are starting to improve in the UK, construction activity in Mainland Europe remains weak.
“With the improving sales trend and the Group’s prompt action to reduce costs, we continue to expect to make further progress in 2013 consistent with our previous expectations, assuming normal weather conditions in H2.”
The UK is set to leave the EU on 31 October 2019. Are you preparing for Brexit? Complete the North East Growth Hub and Tees Valley Business Compass’ 3-minute survey →