Leading brickmaker Forterra has increased its dividend pay-out guidance, reflecting the strong cashflow that has been a hallmark of the group since it floated in 2016. Today’s AGM statement confirmed “in line” trading and highlighted: “encouraging” housebuilding; good progress on the planned new brick plant; and improved productivity at the temporarily constrained Bison Precast business, acquired in 2017. We are making no changes to our estimates at this point, other than to raise our dividends by 12.5%, giving a FY 2019E yield of 4.3%.
20 May 2019
Focus on cashflow pays dividends
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Focus on cashflow pays dividends
Forterra Plc (FORT:LON) | 161 4.2 1.6% | Mkt Cap: 343.0m
- Published:
20 May 2019 -
Author:
Alastair Stewart -
Pages:
6
Leading brickmaker Forterra has increased its dividend pay-out guidance, reflecting the strong cashflow that has been a hallmark of the group since it floated in 2016. Today’s AGM statement confirmed “in line” trading and highlighted: “encouraging” housebuilding; good progress on the planned new brick plant; and improved productivity at the temporarily constrained Bison Precast business, acquired in 2017. We are making no changes to our estimates at this point, other than to raise our dividends by 12.5%, giving a FY 2019E yield of 4.3%.