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Highlights

  • MBH posted a 13.0% year-on-year revenue growth in FY23
  • The increased revenue coupled with profit growth contributed to an 11% rise in basic EPS
  • MBH has scheduled a final dividend payment of 3.00 pence per share

Michelmersh Brick Holdings PLC (LSE: MBH) specializes in producing clay bricks and pavers. It has a market cap of GBP 90.72 million and is an FTSE AIM All-Share index-listed business.

In FY23, MBH posted a 13.0% year-on-year growth in revenue. This increase in revenue, along with profit growth contributed to an 11% rise in basic EPS. MBH has scheduled a final dividend payment of 3.00 pence per share. It is slated for payment on 10 July 2024. The ex-dividend date for this payment was set for 06 June 2024. The company has also raised its total dividend per share by around 5.9% YoY for FY23.

Additionally, in FY23 the company had a lower debt-equity ratio of 0.02x and a higher current ratio of 2.44x compared to the industry median of 0.37x and 1.59x.

Recent business update

In Q1 FY24, the company’s delivery schedules were adversely impacted due to challenging seasonal conditions.

Company outlook

MBH has expedited its efforts in optimising portfolio pricing while sustaining diversity in the forward order book. Growth in the order book is expected from sectors such as social and specification housing, RMI (Repair, Maintenance, and Improvement), new builds, and commercial sectors. Throughout FY23, full production capacity was maintained alongside rigorous cost management, resulting in enhanced profitability. Looking ahead, MBH states that it remains committed to expanding sustainability and manufacturing initiatives, aiming to achieve continuous process improvements.

Top 10 Shareholders

The top 10 shareholders of MBH together account for approximately 67.18% of the total shareholdings in the company. Gadsden (Eric John Spencer) holds the highest number of shares with around 24.62% shareholding. It is followed by Hosking Partners LLP with around 11.77% shareholding, as illustrated in the chart below:

Stock performance

Over the past month, MBH's stock price has declined by approximately 8.07%, while over the last six months, it has risen by about 11.10%. The stock's 52-week range spans from a low of GBX 75.00 to a high of GBX 108.00. Presently, it is trading above the midpoint of this range.

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference data for all price data, currency, technical indicators, support, and resistance levels is 17 June 2024. The reference data in this report has been partly sourced from EODHD/Others.