Travis Perkins Profits Take A Boost
Travis Perkins has reported a rise in profits thanks to their building trade with overall profits increasing 37% to £269.6m.
However, the firm revealed that times are tough for their retail DIY market which shrunk by 25% since its peak in 2007.
That figure hits its 200 Wickes and 107 Tile Giant stores, with profits slipping by £14m to £45m in 2011. The slump is particularly due to consumers cutting back on buying kitchens and bathrooms.
Despite this, the firm is still positive with like-for-like sales across the group up 6% over the year, this was boosted by a strong performance in its builders’ merchant arm.
Geoff Cooper, chief executive, said: “2011 was a good year for Travis Perkins. Despite a depressed construction market, we improved services to customers, gained market share, even before the expansion of our network and exceeded our targets from the integration of BSS, continued to outperform our markets, and won further market share.
“This meant we achieved a good set of financial results with improvements in all key figures.
“Having built the UK’s largest distributor of building materials, we will be focusing on growing returns.
“With the prospect of the market softening as we go into 2012, the continued improvement in our offer to customers and gains from strategic developments will be the engine of this growth.
“Our management team has proven itself capable of performing well in tough markets and outgrowing our competitors. We look forward to another year of solid progress.”