Travis Perkins restarts Wickes de-merger process
Northants-based Travis Perkins has restarted its plan to de-merge its Wickes business, it revealed this morning (March 2).
The move comes after Travis Perkins revealed in its full-year 2020 results that Wickes was taking market share in core DIY with like for like revenue growth of 19.3%.
Depite this, Travis Perkins’ adjusted operating profit slumped by almost 50% to £227m. The company said this “reflected lower volumes partially offset by actions to reduce operating costs, including both short term controls and acceleration of longer term plans, coupled with appropriate government support in the merchant businesses”.
Nick Roberts, chief executive officer, said: “we have shown great agility and versatility in adapting our working practices, further digitalising our engagement with customers and reshaping our business to suit the changing demands of our markets.
“Our teams have also been able to make excellent progress on a number of key initiatives supporting our strategic objectives, particularly around simplifying commercial deals and refining our pricing architecture, which will drive future benefits.
“In addition, I am pleased today to be able to confirm that the process to demerge Wickes has recommenced. The Wickes digitally-led model has proved highly effective during the pandemic and the business is in great shape to embark on its journey as a standalone entity.
“Whilst uncertainty remains, we have seen a good recovery through the second half which gives us confidence that the fundamental drivers in our markets are robust. The continuing progress against our strategic plans leaves the Group well placed to outperform in those markets.”