Return to profits in ‘pivotal and productive year’
Building products supplier, SIG, says it expects to report FY21 revenues from underlying operations of £2.3bn and an underlying operating profit no less than £40m.
Issuing its 2021 full year trading update, the Sheffield-headquartered business, says it was a “pivotal and productive year” for the Group.
It recorded strong momentum exiting the year, with the company’s Return to Growth strategy delivering results ahead of plan.
SIG’s UK business overall returned to profitability for the year, with its Interiors arm returning to profit in H2.
It noted that its FY21 like-for-like revenues grew 24% compared to the prior year, which was distorted by Covid, notably in H1, and 8% vs 2019.
Reported Group revenues from underlying operations were 22% higher in the year vs 2020.
The firm’s outlook adds: “Whilst the Covid-19 backdrop may continue to create some market uncertainty, the fundamentals of the Group’s markets remain sound, notably with the increasingly robust Europe-wide commitments on energy efficiency and carbon reduction.
“Our order books continue to be robust, and we remain confident in the effectiveness of our supply chain management in meeting customer requirements and continuing to manage any potential volatility in supply and in input costs.
“As a result, the Board is confident the momentum built in 2021 will continue in 2022 and, providing there is no material disruption to either our business or end markets, expects the Group to deliver solid organic revenue growth in the coming year.”
The update comes after the business completed a quarter of a billion pound fundraise in November which it said would be used to repay the company’s existing private placement notes, credit facilities and fund cash on the group’s balance sheet for general corporate purposes.
