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Revenue down almost 20pc at Woodie's owner due to Covid

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Woodies team member Ryan Cromwell  tries to jump over the 2 meter distancing stencil on the floor at the Woodies.

Woodies team member Ryan Cromwell tries to jump over the 2 meter distancing stencil on the floor at the Woodies.

Woodies team member Ryan Cromwell tries to jump over the 2 meter distancing stencil on the floor at the Woodies.

Revenue at Woodie's owner Grafton Group fell by almost 20pc to £1.06bn (€1.18bn) in the six months to June 30.

The company’s performance was impacted by Covid-19, which resulted in store closures for a number of weeks.

In a trading update today, Grafton said its performance in June was “more resilient” than expected with group revenue in continuing operations of £247.8m (€275.6m).

This was 11.4pc ahead of June 2019 revenue, with the benefit of two additional trading days and revenue from the acquisition of Polvo in July last year.

Average daily like-for-like revenue in June was down by 1.1pc on the prior year.

Strong demand in June in Grafton’s businesses in Ireland and Netherlands and in Selco in the UK was partly offset by a slower pace of recovery in the traditional distribution and manufacturing businesses in the UK, the company said.

In Ireland, Woodie's reported a new record for monthly revenue in June due to "exceptional" sales of seasonal products.

Grafton added that while it was encouraged by the improved performance in June, “trading during the month is likely to have been influenced by pent-up demand as Covid-19 restrictions were lifted and we remain cautious about revenue trends in the second half of the year.”

In its Irish distribution business Chadwicks, which fully reopened on May 18, the company experienced growth of 7.3pc in average daily like-for-like revenue last month driven primarily by strong demand in the repair, maintenance and improvement segment of the housing market.

Grafton said its outlook for the year remains suspended.

Gavin Slark, CEO of Grafton, said: “While we face many challenges in the months ahead, we are encouraged by the group's trading and financial performance in the month of June which represented an important milestone on the road to recovery.

Grafton is in a strong financial position and our resilient portfolio of market leading businesses is emerging stronger from this crisis and remains well positioned for future growth."

Online Editors