Breedon Group (LON:BREE) Posts Quarterly Earnings Results

Breedon Group (LON:BREE) posted its quarterly earnings data on Wednesday. The company reported GBX 31.80 earnings per share for the quarter, Digital Look Earnings reports. Breedon Group had a net margin of 5.51% and a return on equity of 7.73%.

Here are the key takeaways from Breedon Group’s conference call:

• Reported revenue and EBITDA rose (assisted by U.S. acquisitions) and the group generated a record post‑COVID free cash flow of GBP 133 million, reducing leverage to 1.8x and enabling a 3% higher dividend of 15p.
• UK markets were weak—concrete volumes fell to levels not seen since 1963 and GB like‑for‑like revenues declined, leaving pricing and the timing of any recovery uncertain despite margin resilience from cost savings.
• The Lionmark acquisition is substantially integrated, adding asphalt and surfacing capability and creating a more vertically integrated U.S. Midwest platform that now represents almost 20% of group revenue, with medium‑term US margins expected in the high teens.
• Cement industry risks remain material—uncertainty over the UK CBAM timing, high domestic energy costs and import competition threaten competitiveness, even as Breedon invests in decarbonisation (FEED/Peak Cluster) with modest near‑term costs.

Breedon Group Stock Up 6.0%

Shares of LON BREE opened at GBX 341.20 on Wednesday. The stock has a market capitalization of £1.18 billion, a P/E ratio of 13.12, a PEG ratio of 1.56 and a beta of 1.08. Breedon Group has a one year low of GBX 300 and a one year high of GBX 498. The firm’s 50 day simple moving average is GBX 341.19 and its two-hundred day simple moving average is GBX 341.40. The company has a debt-to-equity ratio of 58.21, a current ratio of 1.47 and a quick ratio of 1.12.

Analysts Set New Price Targets

Several research analysts recently issued reports on BREE shares. Citigroup cut their target price on shares of Breedon Group from GBX 360 to GBX 340 and set a “neutral” rating for the company in a research report on Thursday, November 27th. Peel Hunt restated a “buy” rating and set a GBX 500 price target on shares of Breedon Group in a research report on Thursday, November 20th. Three analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of GBX 476.25.

About Breedon Group

Breedon Group plc, a leading vertically-integrated construction materials group in Great Britain, Ireland and the USA, delivers essential products to the construction sector. Breedon holds 1.5bn tonnes of mineral reserves and resources with long reserve life, supplying value-added products and services, including specialty materials, surfacing and highway maintenance operations, to a broad range of customers through its extensive local network of quarries, ready-mixed concrete and asphalt plants.