SIG plc, the Sheffield-based international building materials supplier, said its 2024 statutory group revenue fell about 5% to £2.61 billion and its loss before tax widened to £44.8 million from £31.9 million.
SIG shares rose about 3% to around 12p but are down about 60% for the past 12 months, reducing the firm’s stock market value to £144 million.
“FY24 results reflect a robust performance in the face of ongoing challenging market conditions, supported by extensive cost and restructuring actions …” said SIG.
“Successful refinancing of €300m bond and £90m RCF in October 2024 extended debt maturies to 2029 and ensured ongoing robust liquidity …
“Year-end net debt of £497m (2023: £458m), including £321m (2023: £327m) of net lease liabilities; year-end cash balances of £87m (2023: £132m) along with undrawn RCF of £90m …
“French and German businesses continued to face the most subdued market conditions, but growing ahead of markets through differentiated offering and continued strong execution …
“Headcount reduction of 430 across the group within the year, including closure of 17 underperforming branches, with an acceleration of restructuring actions in UK Interiors and Benelux in Q4 …”
SIG CEO Gavin Slark said: “The group’s 2024 results reflect a robust trading performance in challenging markets.
“We continued to experience lower volumes from weak end-markets across the UK and EU, but we have used this period to reshape our operations, through cost reduction and restructing actions, and to create better performing businesses across the group. This will help to significantly improve our future profitability when markets recover.
“We also maintained a keen focus on our customers and delivering great service. I am proud of the energy and resilience our people have continued to demonstrate in this tough environment.
“Across all our operations we are implementing a range of initiatives under our ‘GEMS’ strategy, which will lead to a higher-value sales mix, continually stronger commercial execution, and more efficient operations, all of which will support delivery of our 5% medium-term operating margin target.
“The operational gearing in our business model applies equally strongly in conditions of rising demand, and, accordingly, the board believes the group remains very well positioned to benefit from the market recovery when it occurs.”