An expansion into specialist contracting is paying-off for construction materials distributor BRCK Group as its core market continues to be hit by a slow housing market.
Materials distribution operations account for 80% of turnover with the growing design and install specialist contracting operations now hitting 20%.
Revenue across the business for the year to March 31 2026 increased to £645.4m from £637.1m last time as pre-tax profits fell to £6.3m from £11.7m.
The design and install division saw an 8.8% rise in turnover driven by increased work in the fire remediation , roofing and energy efficiency sectors.
Chief Executive Officer Frank Hanna said: “The business drivers of the two divisions are distinct in that the Distribution division is largely driven by the housing market whereas Design & Install has drivers that are less connected to the housebuilding market, such as the regulatory drivers of fire remediation.
“The Design & Install businesses attract a higher margin than Distribution, but both divisions are of major importance to the Group’s profitability.
This is because Distribution brings the potential for large volumes, and corresponding profits, when trading conditions are favourable.
“Whilst the trading environment in the first few weeks of the new financial year has remained challenging, and such conditions are expected to persist in the coming months, particularly for new housing starts, our diversification strategy and the breadth of our business activities are providing some protection and opportunities.” BRCK Group – formerly known as Brickability – was the subject of a failed takeover bid earlier this year by Bovis owner Atlas..