Wolseley plc’s UK operations recorded double-digit sales and trading profits growth for the five months to December 31, 2004, the company said in a trading statement.
The merchant, which owns the Build Center chain incorporating specialist timber branches, saw sales and trading profit in its European distribution operations grow by 10% compared to the same period in 2003.
It described the UK as the “most positive” of its European markets, with demand in the repairs, maintenance and improvement sector remaining strong. The commercial sector, including government spending, showed signs of improvement.
Despite a weak industrial market and a slowing of new residential construction, Wosleley UK had an organic sales growth of more than 8%. But higher pension and restructuring costs will be reflected in the second half trading margin.
Brooks, the 18-branch Ireland-based merchant acquired last year for £120m, is trading in line with expectations.
Wolseley’s total group sales, including North America, were up by 10%, while trading profits grew by more than 25%. Full interim results will be announced on March 21.
Chief executive Charlie Banks said: “We have seen another strong performance for the group over the first five months of the year. The continued strength of our underlying growth emphasises the benefits of both our broad geographical reach and diverse product range.”
