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SIG lifts underlying profit on cost cuts despite flat sales and weak construction markets

Story Highlights
  • SIG kept 2025 revenue broadly flat at £2.59bn amid weak construction demand but outperformed its markets, led by strong UK Interiors performance.
  • Cost-saving and restructuring actions delivered £39m in savings and a 28% rise in underlying operating profit, though the group remains loss-making with elevated net debt and is banking on future market recovery.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
SIG lifts underlying profit on cost cuts despite flat sales and weak construction markets

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An update from SIG plc ( (GB:SHI) ) is now available.

SIG reported full-year 2025 revenue of £2.59bn, broadly flat year on year, as like-for-like sales were held back by weak construction demand and pricing pressure across key European markets. The company’s specialist insulation, interiors and roofing operations nonetheless continued to outperform local markets, with UK Interiors showing particularly strong sales momentum.

Underlying operating profit rose 28% to £32.1m, driven by £39m of cost savings from restructuring and productivity initiatives that helped offset lower volumes and inflation. Despite this, SIG remained loss-making at the pre-tax level and saw net debt edge up to £518m, but management highlighted robust liquidity and ongoing self-help and portfolio optimisation measures aimed at lifting margins and positioning the group for operating leverage when construction markets recover.

The most recent analyst rating on (GB:SHI) stock is a Hold with a £9.50 price target. To see the full list of analyst forecasts on SIG plc stock, see the GB:SHI Stock Forecast page.

Spark’s Take on GB:SHI Stock

According to Spark, TipRanks’ AI Analyst, GB:SHI is a Neutral.

The overall stock score is primarily influenced by financial performance challenges, including declining revenues and high leverage. Technical analysis shows mixed signals with short-term bullish momentum but longer-term bearish trends. Valuation concerns arise from a negative P/E ratio and lack of dividend yield. However, positive corporate events, such as the CEO’s share purchase and strategic leadership changes, provide a boost to the score.

To see Spark’s full report on GB:SHI stock, click here.

More about SIG plc

SIG plc is a pan-European distributor of specialist building products, serving trade customers across the UK, France, Germany, Ireland, Benelux and Poland. The group focuses on insulation, interiors and roofing, offering one‑stop access to a broad product range, technical advice and coordinated delivery into a fragmented construction market, and is listed on the London Stock Exchange.

Average Trading Volume: 1,446,716

Technical Sentiment Signal: Sell

Current Market Cap: £115.3M

For detailed information about SHI stock, go to TipRanks’ Stock Analysis page.

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