The rising price of bricks helped Michelmersh Brick Holdings double its operating profit on a 10% increase in turnover.
In the year to 31st December 2014, Michelmersh grew its annual revenues to £28.5m (2013: £25.9m). Operating profit rose from £1.4m to £2.8m and pre-tax profit climbed to £2.6m (2013: £407,000).
Michelmersh sold 70 million bricks last year.
Average prices increased by 13.5%, which chairman Eric Gadsden said was the first increase for six years. He also said that a generational oversupply of bricks had come to an end and the market was now reliant on increasing levels of imports.
“The current environment brings a new set of challenges with our stocks, and industry stocks, at an all-time low,” he said. “Bricks are no longer immediately available on demand.”
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