MAKING A MATERIAL
DIFFERENCE
2024Annual Report and Accounts
STRATEGIC REPORT
Making it happen
»01
Investment case
»04
Breedon at a glance
»06
Chair’s statement
»08
Market review
»10
Business model
»16
Chief Executive Officer’s review
and outlook
»22
– Breedon 3.0
»24
– Operating reviews
»32
Key performance indicators
»40
Chief Financial Officer’s review
»42
Managing our risks and
opportunities
»48
– Principal risks
»51
– Climate-related risks and
opportunities
»59
Viability Statement
»67
Sustainability
»69
– Planet
»72
– People
»81
– Places
»88
– Principles
»91
Section 172(1) Statement
»95
GOVERNANCE REPORT
Board of Directors
»102
Corporate governance statement
»104
Board in action
»105
Culture and colleague engagement
»107
Engaging with shareholders
»109
Audit & Risk Committee report
»112
Nomination Committee report
»118
Sustainability Committee report
»121
Compliance statement against
the Code
»123
Directors’ Remuneration report
»129
– Annual statement
»129
– Remuneration at a glance
»133
– Directors’ Remuneration Policy
»134
– Annual Report on Remuneration
»139
Directors’ report
»147
Statement of directors’
responsibilities
»150
Our purpose is to make a
material difference to the lives
of our colleagues, customers
and communities.
We achieve that by delivering
essential construction materials
while living our values;
keeping it simple, striving to
improve, making it happen
andshowing we care.
The strategic report has been
approved by the Board of Directors
and signed on its behalf by:
Rob Wood
Chief Executive Officer
5 March 2025
CONSOLIDATED FINANCIAL
STATEMENTS
Independent Auditor’s report
»152
Consolidated income statement
»162
Consolidated statement
of comprehensive income
»163
Consolidated statement
of financial position
»164
Consolidated statement
of changes in equity
»165
Consolidated statement
of cash flows
»166
Notes to the consolidated
statements
»167
COMPANY FINANCIAL
STATEMENTS
Company balance sheet
»200
Company statement of
changesin equity
»201
Notes to the Company
financial statements
»202
Subsidiaries
»207
ADDITIONAL INFORMATION
Shareholder information
»210
Glossary
»213
Contents
Breedon Group plc Annual Report and Accounts 2024 2Strategic report Governance Financial statements Additional information
Record revenue
Revenue
Return on invested capital
Resilient returns
Earnings before interest,
tax, depreciation and
amortisation
Robust earnings
Breedon is a leading vertically-integrated international
construction materials group in Great Britain, Ireland
and the United States.
We supply the construction industry with the essential
materials needed to build the places where we live
and work, play and in-between.
We use our core assets to produce valued-added
downstream products, pulling through our aggregates
and cement to be used in the production of ready-
mixed concrete and asphalt, and the provision of
surfacing solutions.
Our growth strategy has served us well, building
platforms in three geographies and delivering 19%
compound revenue growth since our first full year
of trading as Breedon. Our evolved strategy will
ensure we continue to Expand and Improve Breedon
as we deliver the next chapter of growth.
Making it happen
01Breedon Group plc Annual Report and Accounts 2024 Strategic report Governance Financial statements Additional information
At Breedon, our ambition to
become a leading vertically-
integrated international
construction materials group is
driven by our growth mindset.
Since Breedon was formed, we
have experienced rapid expansion,
powered by two complementary
routes to growth.
We focus on supplying essential
materials to end-markets
that benefit from long-term
structural growth dynamics,
ensuring we are well-positioned
in high-demand sectors.
We pursue carefully selected
transactions to consolidate
the markets in which we
operate, strengthening our
competitive position and
expanding our footprint.
Making it happen
02Breedon Group plc Annual Report and Accounts 2024 Strategic report Governance Financial statements Additional information
Our growth is enhanced by a
relentless focus on improving our
assets and operations. We devote
significant time and resources to
ensure we replenish and extend
our valuable mineral reserves and
resources. These are the lifeblood of
our business and a significant store
of value for our future.
We are committed to maximising
the efficiency of our assets
through our focus on commercial
and operational excellence,
and attempt to ensure that
every operation is optimised for
performance and value.
Embracing innovation is key
to enhancing productivity and
increasing the value of every tonne
of material we quarry.
Making it happen
03Breedon Group plc Annual Report and Accounts 2024 Strategic report Governance Financial statements Additional information
The foundations of our asset-backed model
are 1.4 billion tonnes of mineral reserves and
resources and two well-invested cement plants.
We supply essential materials to attractive
end-markets, such as infrastructure and
housebuilding, which benefit from long-term
structural growth trends.
Our self-help culture of continuous improvement
supports margin enhancement and drives returns
in excess of our cost of capital.
Our vertically-integrated operating model offers
margin-enhancing routes to market by pulling
through our aggregates and cement to be used in
the production of ready-mixed concrete and asphalt
and the provision of surfacing solutions.
Our disciplined capital allocation enhances returns,
generates strong Free Cash Flow, supporting
multiple routes to growth, and enabling the payment
of a progressive dividend.
At a glance
»06
Business model
»16
Market review
»10
Strategy
»24
Financial review
»42
We offer sustainable long-term
growth, underpinned by a
proven financial framework
Investment case
04Breedon Group plc Annual Report and Accounts 2024 Strategic report Governance Financial statements Additional information
Breedon
2011
1
2012
1
2013
1
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024
5.6
3.6
1.9
1.7
(0.2)
1.5
0.9
1.9
1.4
1.9
0.8
0.7
0.5
1.4
Covenant
Leverage
1
times
£1,576m
£169m
19%Revenue CAGR
2
£270m
£17m
24%Underlying EBITDA
3
CAGR
Since our first full year of trading
as Breedon, we have undertaken
27 acquisitions while simultaneously
pursuing organic growth.
In this time, our growth has outpaced our
markets, we have successfully converted
profits to cash and rapidly reduced
leverage following each transaction.
An outstanding
track record
of sustainable
growth
1 Covenant Leverage has been calculated on a
consistent basis for all periods, following the
principles set out in the Group’s current debt facility
agreements. Note 27 of the consolidated financial
statements contains further details of this calculation.
2 CAGR: Compound annual growth rate.
3 Underlying EBITDA refers to earnings before interest,
tax, depreciation and amortisation.
Six bolt-on
transactions
Cemex
UK assets
Nine bolt-on
transactions
BMCHope Lagan
17%
10%
700bpsUnderlying EBITDA margin expansion
Investment case
05Breedon Group plc Annual Report and Accounts 2024 Strategic report Governance Financial statements Additional information
>100
quarries
2
plants
>200
plants
>50
plants
Our quarries supply aggregates to our external
customers and our own ready-mixed concrete
and asphalt plants, pulling materials through
the business model.
To make a material difference to
the lives of our colleagues, customers
and communities.
Our people are one of our
greatest assets. Their safety and
wellbeing is our highest priority
and the objective of our Home
Safe and Well campaign.
We are committed to upholding clear,
authentic behaviours that drive long-
term success. By staying true to our
principles, we create a foundation of trust,
integrity and accountability that supports
sustainable growth.
Our well-invested cement plants are capable
of producing more than two million tonnes
of cement annually.
Our ready-mixed concrete plants supply
quality-assured concrete, screed and mortar
to a broad scope of projects.
Our asphalt plants supply quality-assured
materials to a wide range of projects from
car parks to major trunk roads.
Our Great Britain surfacing operations are
strategically located in England and Scotland,
serving our national, local and airport
customers efficiently and sustainably.
Our Ireland surfacing and contracting
activities benefit from multi-year frameworks
and term contracts, delivering high-profile
projects including airports and major trunk
road resurfacing.
A balanced portfolio of
high-quality assets operated
by our first-class team
KEEP IT
SIMPLE
MAKE IT
HAPPEN
KEEP IT
SIMPLE
MAKE IT
HAPPEN
STRIVE TO
IMPROVE
STRIVE TO
IMPROVE
SHOW
WE CARE
SHOW
WE CARE
People
Finance
Sustainability
Our strategy
Aggregat es Our purpose
Our values Our people
Cement
Ready-mixed concrete
Asphalt
Surfacing
Asset-backed and vertically-integrated Our culture
4,500
people
40
new graduates and apprentices
78%
colleague engagement score
Breedon at a glance
06Breedon Group plc Annual Report and Accounts 2024 Strategic report Governance Financial statements Additional information
1.4 billion tonnes
tonnes
We are stewards of 1.4 billion
tonnes of mineral reserves and
resources, equivalent to around 47
years of production.
2015 2016 2017 2018 2019 2020 2021 2022 2023 2024
Reserves
and resources
Our extensive road and rail
haulage infrastructure delivers
our mineral reserves and
resources to our customers
sustainably.
Connected
An extensive footprint
of valuable assets with
leading market shares
Breedon at a glance
United States
Headquartered in St Louis, Missouri, our US
business is well situated for expansion across
the Midwest, operating a concentrated
network of quarries and ready-mixed
concrete plants.
More detail
»36
Cement
Our Cement division operates
two well-invested plants in GB and
Ireland, producing more than two
million tonnes of cement annually.
More detail
»38
Ireland
A network of quarries and plants
across the Island of Ireland,
supporting a highly regarded
surfacing business.
More detail
»34
Great Britain
An extensive footprint of
quarries and downstream
operations, extending
from Hampshire to the
Hebrides.
More detail
»32
07Breedon Group plc Annual Report and Accounts 2024 Strategic report Governance Financial statements Additional information
We are on a path that will be
defined by growth and driven
by the people who make
Breedon unique.
A remarkable year of
achievements
I am immensely proud of the achievements
we have made as a company, particularly
in 2024, which marks a significant milestone
in our growth journey as we entered the US
construction materials market.
Whether on site or in leadership, each
team member plays a crucial role in driving
Breedon forward, creating opportunities
and delivering remarkable results.
Our team has shown exceptional resilience
and determination. We have successfully
navigated challenging markets and poor
weather to deliver record revenue and grow
our Underlying margins.
This success is a testament to the
unwavering commitment and passion of
our people at every level of the organisation.
On behalf of the Board, I want to express
our heartfelt thanks to each member of
the Breedon team for their hard work
and dedication.
Chair’s statement
Breedon is on an exciting
journey, defined by
the passion, dedication
and commitment
of our team.
Amit Bhatia
Chair
Refreshing our ambition
Three years ago, at our first Capital Markets
Event, we outlined our ambitious plans for
the future. Since then we have delivered.
We established a third platform and made
tremendous progress on our sustainability
strategy. We grew the dividend, exceeding
our target payout ratio ahead of schedule
and we continued to invest through the
cycle, deploying capital to drive growth
in the long term.
These outstanding achievements were not
left to chance. They are the direct result of
the strategic vision, careful planning and
relentless execution by our passionate team.
In 2024 we were delighted to host our
second Capital Markets Event where
we evolved our strategy, upgraded our
sustainability targets and clarified our
ambitious plans for expansion.
At the core of our simplified strategy
remains our intention to prioritise profitable
and sustainable growth.
2021
2020
2022
2023
2024
48.3
37.6
30.5
8.4
0
Total cash dividends paid
£m
Breedon Group plc Annual Report and Accounts 2024 08Strategic report Governance Financial statements Additional information
Delivering on our strategic
commitments
One of the most exciting strategic
developments of 2024 was our entry
into the US.
The US construction materials market offers
tremendous growth potential and it was
essential to identify the right entry point.
After a thorough search and careful
consideration, the Board was delighted to
approve the acquisition of BMC.
This is a landmark transaction and
has opened up years of new growth
opportunities for Breedon. We have
found in BMC a business with a strong
cultural alignment, sharing our values and
commitment to excellence, and we are
excited about the long-term prospects
it brings to the Group.
Positioned for growth
Together, we have established a strong
foundation, positioning Breedon for
further success.
We have built a tried and tested model with
extraordinary potential. We have retained a
strong and flexible balance sheet.
Our people are at the heart of our success
and our culture of empowerment,
accountability and respect has fostered a
world-class team with exceptional talent.
The Board site visit to
our Dowlow quarry in
September 2024
Chair’s statement
Board site visit
Exciting future opportunities
Looking ahead, Breedon is positioned
for continued success and our future is
filled with exciting possibilities to grow
and mature.
As we continue to expand, thoughtful
capital deployment will remain central
to the Board’s considerations, balancing
growth with maturity, and financial flexibility
with value creation.
There is much to look forward to. We are
excited for the future and confident Breedon
will continue to thrive in the years ahead.
Seeking re-election
Since joining the Board in 2016 it has
been an incredible privilege to be part of
Breedon’s transformation. I am deeply proud
of what we have accomplished together
and the bright future we have created.
I am eager to contribute to our ongoing
development. Therefore, I am seeking
re-election in 2025.
I am excited to continue working alongside
our exceptional team as we drive Breedon
toward even greater success in the
years ahead.
Amit Bhatia
Chair
5 March 2025
Breedon Group plc Annual Report and Accounts 2024 09Strategic report Governance Financial statements Additional information