Grafton Group's turnover rises slightly
Published: 10 November, 2011
DUBLIN: Turnover at the Grafton Group rose a touch in the first 10 months of this year, with growth in the UK offsetting further drops in its Irish business.
In a trading update today Grafton said that its turnover was €1.73bn in the 10-month period, compared with €1.7bn in the same period last year.
However, Grafton said that operating profit growth would slow in the second half as recession-hit Britons put off renovations and repairs to their homes. Grafton's management points out that uncertainty about the economy, low consumer confidence and tight lending conditions continue to limit growth in RMI volumes in the UK market. In Ireland, "the economic environment is likely to make trading conditions challenging for some time ahead," said the company.
The UK business, which accounts for over 70% of group turnover, increased sterling turnover by 4.8% in the 10 months compared to the same period last year. Irish Merchanting turnover fell by 7.7% in the 10 months which compares to a drop of 7.2% in the half year.
The Group said it remained confident of "achieving further improvement in profitability going forward".