The UK’s second largest brick maker Forterra has warned of further brick price hikes this year in its latest trading statement after reviewing costs before deciding to charge more following increases in energy prices.
Stephen Harrison, chief executive of Forterra, said: “We remain watchful of further inflationary cost pressures, and we will apply further price increases as necessary.”
He added that 70% of the company’s energy costs had now been secured, covering the winter months when volatility is traditional at its highest.
However, Forterra reported brick sales bouncing back to pre-pandemic levels, with sales 1% above 2019’s figures and 33% ahead of 2020’s, with revenue for 2021 expected to by 27% higher than 2020.
Stephen said this was due to Forterra’s precast concrete factory closing, subsequently reducing output of bespoke products. Nevertheless, added brick and block revenues were 7% up on 2019.
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