11 August 2015 – interim results
In the six months to 30 June, the distributor of building products saw revenue decline slightly to £1.24bn (2014: £1.28bn) with underlying pre-tax profits falling by 9.1% to £39.1m (2014: £43.0m). Earnings per share on the same basis emerged 7.7% lower at 4.8p (2014: 5.2p) although the interim dividend was raised by 19% to 1.69p (2014: 1.42p). These were reasonable results against a strong first half last year especially given the variable trading conditions in mainland Europe, increasing competitive pressures and the significant weakening of the Euro. The group’s initiatives to improve business performance continue to progress and recent in-fill acquisitions are doing well. The group’s net debt has increased to £195.4m (30 June 2014: £131.5m) due to increased capital expenditure and the payment of £30.6m on acquisitions in the first half of the year. The results for 2015 are expected to be weighted towards the second half with pre-tax profits of £105m likely for the year for earnings per share of 13p. With further progress expected next year the shares remain ATTRACTIVE.