Trading Statement

Travis Perkins PLC 13 December 2007 Travis Perkins PLC 13 December 2007 TRAVIS PERKINS PLC Trading update - Increased resilience and business breadth The Group provides the following trading update ahead of the close of its financial year on December 31, 2007: Our business has made excellent progress in the second half of 2007, with continued gains in like-for-like market share, an acceleration of network expansion, the acquisition of a seventh brand and improved profitability and returns. In total, group turnover to the end of November was up 12.1% compared to the equivalent period in 2006. Overall, trading continues to be in line with our expectations with both the merchanting and retailing divisions performing well. For the first eleven calendar months of 2007, total turnover in our merchanting division was up by 13.2%, with like-for-like turnover per trading day up by 9.2%. Total turnover in the general merchanting business was up by 12.2% with like-for-like turnover per trading day up by 9.4%. For this period, our specialist merchanting business saw total turnover up by 14.9% and like-for-like turnover per trading day up by 8.8%. These increases represent gains in like-for-like, organic and total market share as our businesses are increasingly recognised by customers as the best place to get their building materials. In our retail division, trading at Wickes continues to progress in line with our expectations. Total turnover for the 48-week trading period ended on December 1 was up by 9.4%. For this period, like-for-like sales per trading day were up by 5.4% with core products up by 7.7% with showroom sales lower by 5.7%. Our retailing business has also grown its like-for-like and total market share in this period, with this rate of gain increasing in the second half. A strategy of remaining competitive against discounting by some competitors meant that as expected, retail gross margins are slightly below the comparable period in 2006. In the eleven months to the end of November we expanded our business and now trade from 1,119 locations. In this period we added to our network a net 97 new outlets including 60 new merchant branches (including 18 Benchmarx), 31 Tile Giant stores and 6 new Wickes stores, increasing Wickes' gross selling space by 6.9%. Our pipeline of further opportunities for network expansion remains strong. The Group continues to exercise tight control over costs and operational cash flow remains good. In the last 4 months £52m has been spent on shares for both past and current share schemes. This hedging against market movements between the option and exercise price is slightly earnings enhancing in 2008. Going into 2008, the market outlook bears similarities to conditions seen for the early part of 2005. However, over the last three years, both the competitive strength of our brands and resilience of the group have been enhanced. Improvements have been achieved in many areas, including the breadth and positioning of the portfolio, product range and pricing, customer service levels, procurement, supply chain and overhead structure. We have prepared our business for more difficult markets in the early part of next year, and are confident that our businesses will continue to outperform. Geoff Cooper, Group Chief Executive said; 'Whilst we anticipate lower growth in the immediate period ahead we have shown we can out-perform the competition and expect to continue to take further market share.' - ends - Enquiries: Geoff Cooper, Chief Executive Travis Perkins PLC Tel: +44 (0)1604 683 222 Paul Hampden Smith, Finance Director Travis Perkins PLC Tel: +44 (0)1604 683 111 David Bick/Mike Feltham Square1 Consulting Limited Tel: +44 (0) 207 929 5599 This information is provided by RNS The company news service from the London Stock Exchange
UK 100

Latest directors dealings