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Forterra guides towards weaker first half

The brick manufacturer reported a decline in housing starts in the fourth quarter
March 10, 2020

A slowdown in new building activity among housebuilders during the final quarter of 2019 pushed Forterra (FORT) to warn that results for the first half of 2020 would be below that during the same time the prior year, due to a lag in demand.  

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The brick manufacturer reported a 3 per cent rise in revenue during 2019, driven by growth in bespoke products. However, an increase in energy costs of around 9 per cent and a shortage of pulverised fuel ash supplies – which forced the group to turn to more expensive imported materials – caused a marginal decline in adjusted cash profits for the bricks and blocks segment.