UK-based SigmaRoc more than doubled its pre-tax profits for the year ended 31 December 2018.
The AIM listed buy-and-build construction materials group posted an underlying profit before tax of £5.5m for calendar year 2018, up by 113.8% from £2.6m in 2017.
Underlying revenue for 2018 increased by 52% to £41.2m from £27.2m in the preceding year.
The company also nearly doubled underlying earnings per share (EPS) from 2.02p to 3.83p in 2018, while reducing gearing and making substantial investments back into the business.
Max Vermoken, CEO of London-headquartered SigmaRoc, commented: “At the tail end of 2016 we launched SigmaRoc plc as a buy-and-build construction materials company, to drive shareholder value by creating platforms of connected and compatible quality businesses focused on their local and regional markets.
“Our 2018 results show we are delivering on our strategy having met our targets and I see plenty of opportunity ahead to build SigmaRoc into a significant operator in the construction materials sector.”
In October 2017 SigmaRoc acquired Topcrete which, via its wholly owned subsidiary Allen, provides specialist wetcast concrete products in London and the Midlands. In December 2017 it bought Poundfield which provides specialised patented concrete products and systems within the UK, primarily for complex infrastructure projects and retaining wall systems.
The acquisition of these two businesses enabled SigmaRoc to establish its SigmaPPG platform which it says helped it take a strong position in the UK market for precast and prestressed products, targeting the industrial and agricultural sectors, as well as housing and specialist infrastructure projects.
SigmaRoc says that it also laid foundations for a new platform in the UK in 2018, with the acquisition of the high PSV (polished stone value) Foelfach Stone quarry in South Wales. Sources of high PSV aggregates are scarce in the UK and are of key importance for road surfacing because of the skid resistance qualities. In January 2019, SigmaRoc announced a 120% increase in the Foelfach Stone quarry resource and the appointment of David McClelland to the company’s executive team as MD for the new UK platform.
