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Travis Perkins shrugs off adverse weather with strong sales

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Travis Perkins shrugs off adverse weather with strong sales
Travis Perkins shares drop nearly 10 pc on 70 pc profit slump

Britain’s biggest building supplier Travis Perkins (LON:TPK) reported a 2.4 percent rise in first quarter sales on Friday, despite the adverse weather conditions that had a negative impact on similar companies.

On a like-for-like basis sales rose 3 percent, with the group confirming that expectations for the full year 2018 would remain unchanged after raising prices to cover rising commodity costs.

Its plumbing and heating division saw like-for-like sales jump 19.7 percent, but general merchandising sales fell 1.9 percent. Contracting sales rose just 0.9 percent.

Chief executive John Carter said despite the Beast from the East having an impact on figures, predictions for the full-year reman on track and “are supported by our actions to reduce costs”.

“Whilst the mixed trading conditions in our markets are expected to continue in the near-term, we remain confident in the longer term outlook for the building materials market, with opportunities to grow and outperform through the investments we are making to develop or extend our strong customer propositions.”

Shares in Travis Perkins are currently trading up 0.86 percent at 1,296.00 (0811GMT).