Travis Perkins cautious post-Brexit
Published: 03 August, 2016
Travis Perkins has reported positive financial results for the six months ended 30 June 2016, but the company remains cautious of changes in market conditions that may negatively impact the business following the EU referendum.
John Carter, chief executive of Travis Perkins plc, said: “It is clear that the result of the Eu referendum has created significant uncertainty in the outlook for our end markets and we did experience weaker demand in the run up to and immediately following the referendum.
“Our two-year like-for-like sales in July have been below the levels we experienced in the second quarter, however we have seen a gradual improvement through the course of the month. In our view it is too early to precisely predict end market demand and we will continue to monitor the lead indicators we track and will react accordingly.”
Travis Perkins reports a revenue increase of 5.8% and like-for-like sales up by 3.1%. Additionally, the company has expanded its business locations by a net 14 new branches within the last half. Despite the uncertainty around the EU referendum, the company has shown positive increases across the board.
Mr Carter continued: “We have a proven track record of reacting swiftly to changes in market conditions and the strength of the Group’s balance sheet, the competitive advantage we have created through the investments we have made, and our ability to flex the cost base leaves us well positioned to continue to win market share and drive shareholder value oven the medium term.”