Headlam Group PLC Pre-close Trading Update (5439U)
19 January 2017 - 6:00PM
UK Regulatory
TIDMHEAD
RNS Number : 5439U
Headlam Group PLC
19 January 2017
19 January 2017
Headlam Group plc
("Headlam" or "the Company")
Pre-close Trading Update
Headlam Group plc (LSE: HEAD), Europe's largest distributor of
floorcoverings, is pleased to provide a pre-close trading update
ahead of announcing its preliminary results for the year ended 31
December 2016 on 7 March 2017.
Following the trading update on 1 December 2016 when the Company
announced that it expected to report preliminary results before
non-recurring items* ahead of current consensus market
expectations, the Company continued to experience better than
anticipated trading in the latter part of the important fourth
quarter. As such, the Company now expects to report preliminary
results before non-recurring items* ahead of the revised consensus
market expectations**.
Total revenue for the year was up 6.0% against 2015,
approximately 4.5% in constant currency, with a strong performance
from both the UK and Continental Europe. The UK continued to
account for approximately 88% of total revenue and UK like-for-like
growth was 4.7%, a significant outperformance of the 3.8% growth in
the market***. Continental Europe, which accounted for
approximately 12% of total revenue, grew by 3.6% in constant
currency strongly reversing the decline of 3.8% in 2015.
The Company benefited from the price increases it implemented
from August 2016 to mitigate cost inflation due to a weakening of
sterling, and the increased revenue led to an improved operating
performance as a result of operational gearing.
Enquiries:
Headlam Group plc
Steve Wilson, Chief Executive Tel: 01675 433 000
Officer Tel: 01675 433 006
Catherine Miles, Director
of Communications
Investec Bank plc (Joint Tel: 020 7597 4000
Corporate Broker)
Garry Levin / David Flin
/ Alex Wright
Arden Partners plc (Joint Tel: 0121 423 8900/020
Corporate Broker) 7614 5900
Jonathan Keeling / Steve
Douglas
Buchanan (Financial PR and Tel: 020 7466 5000
IR)
Mark Court / Sophie Cowles
/ Catriona Flint
*The non-recurring items predominately relate to personnel
changes arising during the second half of the year
**Company-compiled consensus market expectations for 2016 profit
before tax (normalised) of GBP37.6 million (average)
***Source: AMA Research Ltd - Floorcoverings Market Report UK
2016-2020 Analysis
The information contained within this announcement is deemed to
constitute inside information as stipulated under the Market Abuse
Regulations (EU) No. 596/2014. Upon the publication of this
announcement, this inside information is now considered to be in
the public domain.
Notes for Editors:
Headlam Group plc ('Headlam' or 'the Company') is Europe's
largest distributor of floorcoverings having grown significantly
via acquisition and organic growth since 1992.
The Company currently comprises over 60 wholly-owned
floorcoverings distribution businesses in the UK and Continental
Europe each operating under their own trade brand.
Each business is supported by the Company's centralised and
financial resources and extensive distribution network, and the
Company's scale allows the businesses to benefit from greater
access to suppliers of floorcovering products.
An extensive range of floorcovering products (including carpet,
vinyl, wood and laminate) is sourced from suppliers across 12
countries, who gain considerable access into the European market.
The Company's distribution network (comprising distribution hubs,
distribution centres and service centres) allows customers to
benefit from next day delivery as well as an extensive product
range.
The Company's customers are within the residential and
commercial sectors and comprise principally independent retailers
and flooring contractors with whom the Company's businesses
typically have long standing relationships. A greater reach is
achieved into the customer base by each business operating under
their own trade brand and utilising their individual sales
teams.
This information is provided by RNS
The company news service from the London Stock Exchange
END
TSTUWUBRBKAAAAR
(END) Dow Jones Newswires
January 19, 2017 02:00 ET (07:00 GMT)
Headlam (LSE:HEAD)
Historical Stock Chart
From Apr 2024 to May 2024
Headlam (LSE:HEAD)
Historical Stock Chart
From May 2023 to May 2024