Bad weather hits Polypipe’s sales

Doncaster-based Polypipe, a manufacturer of plastic piping and ventilation systems, has said adverse weather conditions earlier in the year has reduced revenue by £8m but added it remains confident of delivering its full year expectations.

Revenue for the four months to the end of April 0.9% lower than the prior year at £135.7m compared to £136.9m in the prior year period as it said adverse weather conditions in late February and March impacted its customers’ ability to work on site.

Underlying revenue growth, excluding the impact of the bad weather, was approximately 5%. Trading in the latter part of April, after the effects of adverse weather had passed, was consistent with this adjusted growth rate, the company said.

Polypipe said its residential systems segment has continued to deliver strong organic revenue growth driven by a buoyant new house build market.

In March, Polypipe said its commercial and infrastructure project pipeline remained encouraging although project delays were impacting short-term performance, and this morning it said this trend had continued.

Polypipe said: “Latest forecasts from the Construction Products Association show a broadly flat construction market for 2018. The board believes that with continued focus on the core elements of its strategy the group remains well placed to grow revenue ahead of the market. The board remains confident of delivering its full year 2018 expectations.”

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