Brickworks Ltd ( (BRKWF) ) has released its Q2 earnings. Here is a breakdown of the information Brickworks Ltd presented to its investors.
Brickworks Ltd, a leading player in the building products and property sectors, has reported a significant improvement in its financial performance for the half year ended January 31, 2025. The company, which operates across Australia and North America, is known for its diversified operations in building materials, property development, and investments.
In its latest earnings report, Brickworks Ltd announced a statutory net profit after tax of $21 million, marking a 141% increase compared to the previous period. The underlying net profit after tax rose to $76 million, reflecting a 308% growth. The company’s property segment showed remarkable recovery, with an EBITDA of $38 million, a significant turnaround from a loss in the prior period. However, the North American building products division faced challenges, reporting a loss due to adverse market conditions and plant shutdowns.
Key financial metrics highlighted in the report include an underlying EBIT from continuing operations of $108 million, up 228%, and an operating cash flow increase of 11% to $59 million. The company’s gearing ratio increased slightly to 22%. Despite a challenging environment in North America, the Australian building products segment maintained stable margins through cost control and operational efficiencies. The property division benefited from new developments and stable capitalisation rates, contributing to the overall positive performance.
Looking forward, Brickworks Ltd remains cautiously optimistic. The company anticipates continued demand for its property assets and expects a gradual recovery in the building products market, particularly in Australia. Management is focused on leveraging its strategic investments and operational efficiencies to navigate market uncertainties and drive long-term growth.