Grafton Group shares on the up as the Woodie’s DIY store owner rakes in more sales in the first half
- London-listed Grafton Group saw its share price rise over 5% on Wednesday
- The group said its geographical reach helped boost revenue in the first half
Grafton Group shares are on the up today after the business unveiled higher revenues for its first half.
Grafton shares were up 5.39 per cent or 41.10p to 803.40p this afternoon, having risen around 6 per cent in the last year.
The international building materials distributor and DIY retailer held its annual guidance as first-half revenues increased by 3.2 per cent, despite the cost-of-living crisis hitting volumes.
On the up: Grafton Group saw its revenues rise in the first half
The group, which owns Woodie’s, said revenue for the six months to the end of June was £1.19billion, against £1.15billion a year ago.
Grafton said it had benefited from the geographic reach of its markets, with 60 per cent of revenue generated in Ireland, the Netherlands and Finland.
The group said: ‘While closely monitoring the heightened macroeconomic uncertainty and the attendant risks to the downside in the residential RMI and new build markets from cost-of-living pressures and successive interest rises, we continue to anticipate delivering full year operating profit in line with expectations based on current trading conditions.’
It remains upbeat about its prospects, adding: ‘The Group remains well positioned due to the strength of its market leading brands, geographic diversity and exceptionally strong balance sheet.’
First half volumes were lower in the distribution businesses in Ireland, the UK and Finland and broadly unchanged in the Netherlands, reflecting the impact of the cost-of-living increases and higher interest rates.
Lower volumes and sharp falls in timber and steel prices also contributed to more competitive markets and margin pressure in the distribution businesses in Ireland and the UK, Grafton added.
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