Operating profits at the distributor were up almost 9% to £4.6m, while pre-tax profits were up slightly to £4.15m.
Lathams chairman Peter Latham said group revenue in the six months ended September 30 had grown by £7.4m to £82.2m.
He attributed growth mainly to panel products, although the timber division saw good improvement since the dip experienced in the March 2013 quarter.
"The management accounts and information show growing revenue for October and the first half of November, at slightly improved margins," added Mr Latham.
"Bad debts have been below our expectations but will remain a concern over the next few months.
"We have a wide range of customers who are generally busier and more confident about future prospects than they were this time last year and the company is in a strong position to meet this increasing demand."
Mr Latham said trading margins had been under pressure and were slightly down on the previous year.
