Business
Full Year 2025 Trading Update
Forterra plc reported a strong full-year 2025 trading update, with revenue reaching approximately £386 million, a 12% increase over the prior year, driven by sales volumes. Adjusted EBITDA is in line with market expectations, and adjusted profit before tax and adjusted earnings per share are expected to be ahead, benefiting from margin progression and lower charges. The company made significant progress in debt reduction, with net debt before leases decreasing to around £56 million from £84.9 million in 2024, resulting in leverage of approximately 1x adjusted EBITDA. Despite some moderation in growth rates later in the year, brick despatches outperformed the market, and Forterra remains confident in its position to benefit from long-term structural growth drivers in the housing market. Disclaimer*
About this update from Forterra Plc
[{"type":"text","content":"\n\n22 January 2026\nFORTERRA PLC\n \nFull Year 2025 Trading Update\n \nAdjusted EBITDA in line with expectations\n \nForterra plc (the 'Group'), a leading UK manufacturer of essential clay and concrete building products, provides its post close trading update for the year ended 31 December 2025 ('FY25') ahead of its full year results announcement scheduled for 11 March 2026.\n \nSummary\n \n· Revenue of c.£386m, 12% ahead of the prior year (2024: £344.3m)\n \n· Adjusted EBITDA in line with market expectations* with margin progression, adjusted PBT and adjusted EPS ahead\n \n· Strong progress on debt reduction; net debt before leases of c.£56m (2024: £84.9m) with leverage approximately 1 x adjusted EBITDA\n \nTrading and Results\n \nFY25 revenue totalled c.£386m, 12% ahead of the comparative (2024: £344.3m), driven primarily by sales volumes. As expected, we saw a moderation of quarterly growth rates through the year due to stronger comparatives and Budget related uncertainty. Whilst demand reduced from the levels seen around the middle of the year, brick remained the most resilient of our product lines.\n \nAdjusted EBITDA is expected to be in line with market expectations* with margin progression. Lower interest and depreciation charges benefit adjusted PBT and adjusted EPS, both of which are expected to be ahead of market expectations.\n \nUK domestic brick despatches for the 11 months to November 2025, as reported by the Department for Business and Trade, increased by 6% relative to the prior year, with our own despatches outperforming the wider market led by our exposure to housebuilding, with our brick market share continuing to recover towards historic levels.\n \nWe have continued to make strong progress in reducing the Group's indebtedness, with closing net debt before leases decreasing to c.£56m (2024: £84.9m). Leverage calculated on a banking covenant basis is approximately 1 x adjusted EBITDA. Having returned leverage to targeted levels, we will provide further clarity on our future capital allocation priorities with our full year results. \nOutlook\nGiven the timing of the November 2025 Budget being so late in the year, alongside the mid-December 2025 cut in interest rates, it is too early to ...