In a further sign of falling demand within the construction industry, a pessimistic trading statement from crushed stone specialists, Readymix has been issued.

It is blaming the slowdown in the construction industry for a reduction in demand for its products.

The company predicted first-quarter losses of €3.9m - including an approximate decline of €1.8m from sales of plant and machinery from the closure of its pipes and tiles business unit.

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The statement from Readymix Chairman Adrian Auer read: "Volumes during the year have been affected by a combination of the continued weakness in the residential sector and a reduction in operational days due to the earlier Easter holidays."

However, the company said an "optimisation programme" has been implemented which included "the rationalisation of assets to improve efficiency, lower operational overheads and reduce personnel costs".

Mr Auer also said the group had a healthy cash position and a strong balance sheet, which would give the company a strong advantage in the slowing markets.

(JM)