Wolseley Group is to work on maximising cash flow and reducing costs after recording “creditable performances” across the company in its half-year results to January 31.
The group recorded growth of 2% in revenue to £8bn during the period, despite trading profits and operating profits down 23.1% and 57.7% respectively compared to the half-year to January 31, 2007.
UK-based Wolseley’s US building materials division, which accounts for 11% of its revenue, saw lumber and structural panel prices pegged back by the continued downturn in US housing starts.
“The first-half results reflect creditable performances in most of our major markets against the background of increasingly challenging conditions,” said group chief executive Chip Hornsby.
“In the short term, we remain very focused on maximising cash flow, reducing costs and growing market share.”
Mr Hornsby added that Wolseley was “confident in the long term” and expected its principal markets to recover and allow the firm to emerge “as a stronger organisation with an excellent platform for future growth”.
