The building materials distributor reported a Q2 rebound after H1 like-for-like sales fell 1.5% and profit dropped to £10.5 million.
SIG (LON:SHI) posted a 1.5% decline in first-half like-for-like sales and underlying operating profit of £10.5 million, driven by weak construction demand, adverse weather, and pricing pressure. The company saw a return to like-for-like growth in the second quarter and now expects full-year profit of around £25 million.
Net debt stood at £532 million, or five times EBITDA, with liquidity at £154 million. Management aims to cut leverage below three times and generate £100 million in cash by 2027. SIG’s Vision 2030 targets a £50 million profit improvement by mid-2028 through cost cuts, procurement savings, and AI adoption.
The company maintained a through-cycle margin target of 3% to 5%, emphasizing self-help measures over market recovery to drive performance.