Flooring giant increases revenues despite ‘softer’ trading backdrop
Headlam Group, Europe’s largest distributor of floorcoverings, has reported an increase in revenue despite what it described as a “softer trading backdrop” that was evident throughout 2018.
Total revenue for the Coleshill-based group for the year to the end of December increased 2.3% to £708.4m compared to £692.5m.
Like-for-like revenue declined in both the UK and Continental Europe, 4.2% and 1.8% respectively, with the softer market being more keenly felt in the UK, Headlam said, while underlying profit before tax increased £300,000 to £43.4 m from £43.1m in 2017.
The group made five smaller strategic acquisitions in 2018, which it said further broadens its industry and geographical position, while planning was secured for a new regional distribution centre in Ipswich, with the land acquired post the year-end.
Steve Wilson, chief executive, said: “Despite the generally softer trading backdrop that was evident throughout 2018, it was pleasing that total revenue and underlying profit increased in the year. Our focus for 2019 and 2020 is operational and financial improvement through the pursuit of efficiency initiatives.
“These will help mitigate against any future weaker trading backdrops and enable the delivery of an improved performance going forward. We have had a positive start to the year and I would like to thank all our people for their hard work and dedication.”
