Wickes reiterates full year profit guidance
Wickes has reiterated its full year profit guidance despite a drop in sales in its third quarter.
In the three months to 30 September, sales declined by 0.2% after like-for-like sales growth of 1.1% in its core categories was offset by a 4.4% fall in its Do-It-For-Me business.
Wickes said the decline in Do-It-For-Me sales, which includes the installation of kitchens and bathrooms, was partially driven by a more normalised order book compared with the first half of the year. The business was also impacted by customers taking longer to commit to big ticket purchases in September.
During the period, Do-It-For-Me experienced some delays to delivered sales as a result of the transition to a new software solution for the fulfilment of customer orders. This means that some fourth quarter delivered sales will now fall into the new financial year.
David Wood, chief executive of Wickes, said: “Once again thanks to our amazing colleagues we have delivered a solid performance in a challenging market as we continue to deliver against our strategic growth drivers. In our core business we have gained further market share and achieved a return to volume growth. We have fulfilled strong demand from our Trade customers and been encouraged by greater stability in DIY.”
Based on trading to the end of October, Wickes said its is comfortable with the current market consensus of adjusted pre-tax profit of of £45.3 million to £49 million for its full year.
Wood added: “As we continue to rollout our programme of store openings and refits, I am confident that we have the right product offer and the most attractive locations – enabling us to deliver value for customers and shareholders.”
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