SIG sees decline slowing in some markets
Nov 12, 2009
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Building products group SIG said that, while volumes have continued falling, there are early signs of a slowing of the rate of decline in some markets.
Turnover has fallen by 16.5% so far this year on a constant currency basis and by 15% since July 1, the firm said.
In the UK, which accounts for about 47% of sales, non-residential construction activity has continued to decline steadily, with the ongoing reduction in the private commercial sector outweighing modest increases in public works, SIG said. Trading conditions remain 'exceptionally harsh' in Ireland, which accounts for about 3% of turnover.
In mainland Europe, the German the insulation & interiors and roofing divisions have performed in line with management's expectations despite second half trading so far showing little tangible benefit from the government's stimulus packages, SIG said.
In France, all the companies have traded satisfactorily, the firm said, with residential demand proving slightly better than had generally been forecast.
Volumes have weakened slightly as forecast in Benelux and Poland and Central Europe continue to experience declining levels of construction activity and demand.
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