Total turnover for the six months dipped slightly to £83m but was down 16% in Scotland at £38.9m while Breedon saw sales rise 15% across England to £44.1m.

The Scottish business was hit by public sector cuts with Breedon winning the only major materials contract offered during the period by Transport Scotland.

Breedon is now targeting the renewable energy market north of the border and has recently won a contract to supply 8,000 cubic metres of ready-mixed concrete to a major wind farm near Elgin.

Executive chairman Peter Tom said: “Our English business looks very different today from the business we acquired in 2010.  We have a first-rate management team, improving margins and a very pleasing win-rate in a highly competitive market.”

The company is now looking for more acquisitions in the wake of the expected fall-out from the Tarmac-Lafarge merger.

Tom said: “We continue to review a number of potential acquisition opportunities.

“The proposed Tarmac-Lafarge joint venture was approved by the Competition Commission in May subject to certain disposals being made and that divestment process is now underway.

“As previously stated, the Board will carefully assess this opportunity to determine whether additional value can be created for shareholders; however, our core strategy of organic improvement supplemented by bolt-on acquisitions remains very much on track and will continue to drive future earnings growth.

“Whilst we do not expect any significant recovery in construction output in the short term, the business has performed well in the first six months of 2012 and we are confident of making further progress in the second half.”