WASHINGTON: Building materials and DIY group Grafton has said its group revenue for last year rose by 13.4% to £2.51 billion. In a trading update for the year to the end of December, Grafton said total revenue in its Irish merchanting business in actual terms jumped by 26.7%, while it was 6.6% higher in the UK and up by 0.9% in Belgium. Total actual revenues in its retailing operations rose by 19.5% while revenues in its manufacturing unit increased by 12.8%.
Grafton said that merchanting now makes up 92% of its group revenue. It noted that expansion of its Selco branch network in the UK picked up with the opening of seven new branches, increasing its network to 47. It also noted that its Irish business outperformed a recovering construction market, driven mainly by growth in residential RMI activity. The business reported double digit like-for-like revenue growth for the third year in a row.
Grafton also said its Woodies DIY business saw a solid increase in volumes, due to recent initiatives to improve the customers’ experience and a more favourable retail market. “The group finished the year on a more positive note and saw the benefit during 2016 of its exposure to multiple markets,” commented Grafton’s chief executive Gavin Slark. He said that the company’s strong balance sheet and “excellent” cash generation from operations support its expansion and acquisition developments and its ongoing strategic initiatives. The company will publish its full year results on March 7.
