Interim Management Statement

RNS Number : 1357U

Travis Perkins PLC

11 October 2010

 



11 October 2010

TRAVIS PERKINS PLC

("Travis Perkins", or "the Company")

Trading update - continuing to gain like-for-like market share

Travis Perkins, the leading UK builders' merchant, today issues this Interim Management Statement for the third quarter to the end of September 2010.

In total, Group turnover for the nine months to the end of September is up 6.0% compared to the equivalent period in 2009. We continue to gain like-for-like market share in both our merchanting and retail divisions.

For the first nine months of 2010 total turnover in our merchanting division is up by 7.8% with like-for-like turnover per trading day up by 7.1%. Like-for-like turnover per trading day for the third quarter increased by 10.3% although this rate has shown signs of moderating in the most recent few weeks of trading. Gross margins for the third quarter are in line with the trend of the first six months, slightly below last year.

Total turnover for the first nine months of 2010 in the general merchanting business is up 7.3% with like-for-like turnover per trading day up 6.5%.  For this period our specialist merchanting business saw total turnover increase by 8.7% with like-for-like turnover per trading day up by 8.2%.

In Wickes total turnover for the 39 week trading period to 2 October was up 2.1%.  For this period like-for-like turnover per trading day was down by 0.1%, with core products down by 2.8%, but showroom sales up by 11.9 %.  However, for the last thirteen weeks the total like-for-like turnover per day was up by 0.6% with relatively weaker trends in big ticket purchases.  Gross margins for the third quarter are ahead of last year continuing the trend of the first six months.  However, the recent response by competitors to the reduction in their market shares has resulted in an erosion of some of this gain.

With our continuing focus on cash generation, underlying net debt has reduced in the third quarter from the £410m reported at 30 June 2010.  There has been no material change to the financial condition of the business.

These trends mean that Group trading for the last three months is in line with our expectations.  Our outlook for the year as a whole remains unchanged from that stated in our June interim results announcement in July.

There is no further update at this time to our announcement of 27 September 2010 on the proposed acquisition of The BSS Group PLC.

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Enquiries:
Geoff Cooper, Chief Executive
Paul Hampden Smith, Finance Director
Travis Perkins PLC	[phone]
David Bick/Mike Feltham/Mark Longson
Square1 Consulting Limited	[phone]

 

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