B&Q tiles deal boosts Norcros figures

SHOWERS and tiles group Norcros has seen revenues increase by 8.5% over the last 13 weeks and it is on course to deliver results in line with expectations.

The firm, which owns the Nuneaton-based Triton showers and Stoke’s Johnsons Tiles brands, said the “encouraging momentum” in its South African business has continued and, despite tough market conditions, revenue in the UK was 3.9% higher.

In an interim management statement issued this morning, the group said that Johnson Tiles recorded a revenue increase of 19.4% driven by further market share gains with B&Q, which has implemented a major tile range review and new in-store tile shop.

It said that the UK shower market remains challenging, hit by the extra bank holiday in June, and further destocking by trade suppliers.

As a result, revenue at Triton was 13.1% lower compared to the same period last year, with UK revenue 9.6% lower, broadly in line with the market decline over the period.

The group added: “Despite the prevailing conditions in our major markets, we believe the strength of our brands, our leading market positions, our customer relationships, and the positive momentum in Johnson Tiles South Africa gives the board confidence that the group should continue to make progress in line with market expectations for the current year.”

Norcros has announced Les Tench, senior independent non-executive director and chairman of the remuneration committee, will be retiring from the board.
Martin Towers will step up to take Tench’s roles and the recruitment process for a new non-executive director is underway.

John Brown, chairman of Norcros, said: “Les has been on the board of Norcros since its stock market listing in 2007. During that time, we have valued his broad experience and wise counsel which has helped steer the group through some challenging times. The board and I wish him well for the future.”