Sig PLC (SHI)

(Alliance News) - SIG PLC reported decreased revenue and a widened pretax loss for 2024, amid "ongoing challenging market conditions".

The Sheffield, England-based building materials firm said revenue decreased 5.4% on-year to GBP2.61 billion in 2024 from GBP2.76 billion in 2023.

SIG's pretax loss widened to GBP44.8 million from GBP31.9 million, while basic loss per share widened to 4.2 pence from 3.8p.

Underlying operating profit fell to GBP25.1 million from GBP53.1 million, "in line with expectations", while SIG swung to a statutory operating loss of GBP3.8 million from GBP4.0 million.

"The group's 2024 results reflect a robust trading performance in challenging markets," commented Chief Executive Officer Gavin Slark. "We continued to experience lower volumes from weak end-markets across the UK and EU, but we have used this period to reshape our operations, through cost reduction and restructing actions, and to create better performing businesses across the group.

"This will help to significantly improve our future profitability when markets recover."

He added: "The operational gearing in our business model applies equally strongly in conditions of rising demand, and, accordingly, the board believes the group remains very well positioned to benefit from the market recovery when it occurs."

However, SIG said it continues to expect softness in market conditions in 2025 and that any recovery, if one occurs, is more likely to drive demand in the second half of the year.

Trading trends so far in the year "have been largely as we would have expected, and LFL sales for the first two months of the year were flat on prior year," SIG added.

However, it said it "will continue to focus on our execution, manage near-term margin pressure and strengthen our operating platform" during "this period of market weakness".

Also, SIG continues to expect to deliver on its medium-term target of a 5% operating margin.

Shares in SIG were trading 2.2% higher at 12.08p each on Wednesday afternoon in London.

By Emma Curzon, Alliance News reporter

Comments and questions to newsroom@alliancenews.com

Copyright 2025 Alliance News Ltd. All Rights Reserved.