European expansion boosts IHT qualifying Michelmersh
Established in 1997, Michelmersh Brick Holdings (LON:MBH) comprises six of the UK’s premium brands of bricks, pavers and bespoke terra cotta products. More recently it also acquired its first businesses overseas, bringing a Belgium based manufacturer into the fold. This IHT qualifying company ticks many boxes for investors, including a high yield a low price-to-earnings-to-growth ratio.
Impressive interim results and positive outlook lift the share price A maiden contribution from the new Belgian subsidiary at Michelmersh Brick Holdings (LON: MBH) helped lift revenues 17% to £27.2m and underlying pre-tax profit 18% to £5.2m for the six months ending 30 June 2019. While some may be wary of the group’s exposure to the rather fragile UK new build market, as a lower volume producer of specialist products Michelmersh is less exposed than mainstream brick producers. Management also commented how brick stocks across the industry remain at historically low levels with the volume of imported products increasing. Delays at UK…