A strong customer service culture combined with a proven track record in selective acquisitions, gives the Board confidence that this will lead to a sustainable increase in shareholder value over the medium term.
Lords, a leading distributor of building materials in the UK, has issued a statement at its AGM held today (Thursday 20 June).
Gary O’Brien, the Group’s Independent Non-Executive Chairman, said: “Since our trading update issued on 15 May 2024, revenue has been in line with management expectations. Demand for the Group’s repair, maintenance and improvement focused product offering has been similar to the first quarter of FY24 and due to our customer service culture, gross margins have been maintained.
“The Clean Heat Market Mechanism, which we reported had caused challenges in the first quarter of FY24, has had less impact on trading in April and May.
"Alloway Timber, which we acquired in September 2023, has now been fully integrated into the Group and rebranded as Lords Builders Merchants. Four of its five sites in the South East of England have been fully refurbished, leading to strong, positive customer feedback. Similarly, Chiltern Timber, which we acquired in April 2023, has also been integrated into LBM and operates from a modern specialist timber site in Hemel Hempstead.
“While challenging macroeconomic conditions have impacted trading at the start of FY24, the Group is well positioned in a highly fragmented and essential RMI sector.
"Our strong customer service culture combined with a proven track record in selective acquisitions, gives the Board confidence that this will lead to a sustainable increase in shareholder value over the medium term.”
