Brickworks Limited's non-cash impairment charge in FY24

Brickworks Limited (ASX:BKW) has announced the recognition of a non-cash impairment charge of $123.5 million in its FY24 full year results. The impairment pertains to Austral Masonry and Brickworks North America Cash Generating Units (CGUs) due to deteriorating building activity in Australia and a weakened outlook in North America. The company's full year results are subject to finalization, audit processes, and Board approval, and are set to be released on 26 September 2024.

Executive Commentary on Impairment Charge

The impairment charge reflects the challenging market conditions we have faced, particularly in the multi-residential building activity in Australia and the non-residential building outlook in North America. We have experienced a delay in realizing the full benefits from our investments and initiatives, and higher costs across the business have added to the challenges. Despite these headwinds, we remain committed to navigating through these difficulties and are focused on delivering long-term value to our shareholders.

Summary of Brickworks' FY24 Impairment Charge

Brickworks Limited has recognized a non-cash impairment charge of $123.5 million in its FY24 full year results, primarily attributed to the challenges in the multi-residential building activity in Australia and the weakened non-residential building outlook in North America. The company's full year results, subject to finalization and audit, are set to be released on 26 September 2024. Despite the current market challenges, Brickworks remains committed to delivering long-term value to its shareholders and navigating through the difficulties.