(Sharecast News) – Builders’ merchant Travis Perkins posted a drop in first-half profit and revenue on Tuesday amid weak markets.
In the six months to the end of June, adjusted operating profit fell 31% to £112m on revenues of £2.5bn, down 2.5%. The company said this reflects weak market volumes in private domestic RMI and new build housing.
Adjusted earnings per share declined 41% to 30.5p, due to lower trading profit, the phasing of property profits and the increase in the UK corporation tax rate.
Travis Perkins stuck to its guidance for full-year adjusted operating profit of around £240m.
Chief executive Nick Roberts said: “Market conditions have been challenging, which is reflected in both our first half performance and our outlook for the balance of the year. The group remains focused on striking the appropriate balance between seeking to protect shorter term profitability, delivering our strategic objectives and being well placed to benefit when market conditions improve.
“Whilst near-term trading is expected to remain difficult, we continue to work to position the group to benefit from the long-term structural drivers in our end markets. The opportunities presented by the requirement to decarbonise the UK’s built environment and address the shortage of both private and social housing remain significant and our unique portfolio of businesses, coupled with the development of innovative solutions for our customers, will enable the group to deliver long term growth and create value for shareholders.”
