Britain’s SIG expects strong earnings but supply snags to persist By Reuters

© Reuters.

(Reuters) -UK-based building materials supplier SIG Plc predicted on Tuesday its annual earnings would top previous expectations but warned that an industry-wide shortage of materials will likely continue this year.

SIG, which supplies roofing and insulation materials in Britain and a handful of European countries, said trading in July-August remained “solid” despite the supply disruptions, which include a shortage of truck drivers.

Companies across industries have been hit by supply bottlenecks at ports and warehouses. The UK construction industry grew at its weakest pace since early 2021 in August due to the supply squeeze.

“We are anticipating a continued impact from material shortages, which could be more significant than in H1, and which could persist for an extended period,” the company said in a statement.

SIG said it expected full-year underlying operating profit above prior expectations, provided the supply constraints don’t worsen.

Sheffield-based SIG posted underlying operating profit of 13.6 million pounds ($18.6 million) for the six months ended June 30, compared with a loss of 42.9 million pounds a year earlier.

($1 = 0.7317 pounds)

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.