Shares in Grafton Group fall by 3pc
SHARES in Woodies DIY and Atlantic Homecare owner Grafton Group fell nearly 3pc this morning after it said it remains reliant on internal initiatives to boost profitability and remains cautious about the near-term outlook.
Releasing a trading update in advance of its annual general meeting being held this morning in Dublin, Grafton said that revenue for the first four months of this year was €677m, flat on the figure reported in the first four months of 2012.
“Trading for the period was influenced by adverse weather conditions and continued economic weakness in the group’s markets,” it said.
Grafton, which is headed by chief executive Gavin Slark, said its operating profit in the first four months of the year was marginally ahead of the corresponding period in 2012 despite a continuation of below normal activity levels in the UK merchanting market and the difficult macro-economic environment in Ireland.
“The Irish merchanting business increased like for like revenue by 1p, an encouraging development and the first period since the first half of 2007 to record turnover growth,” the company added. “The business benefitted from an improvement in its competitive position and from increased turnover of plumbing and heating products and promotional campaigns.”