Revenue at Grafton Group up 9.1%
Revenue at building materials company Grafton Group increased 9.1 per cent in the 10 months to the end of October.
The firm, in a note to the stock exchange yesterday, said revenue amounted to £2.3 billion (€2.6 billion), which was an increase of 9.1 per cent on revenue of £2.1 billion compared to the same period last year. The increase in constant currency terms was 6.9 per cent.
On merchanting, which comprises more than 90 per cent of the company’s revenue, Grafton said the rate of like-for-like revenue growth in the UK merchanting business was influenced by a weak third quarter in 2016.
Demand softened in October and volumes were broadly flat when measured against an improving trend in the fourth quarter of last year.
Pace of growth
The company said the pace of growth in the Irish merchanting business “moderated a little”, but that the prospects for sustained growth were “positive”.
It said the recovery in house building “gathered momentum from a low base but it will require several years for supply to meet ongoing demand”. “Non-residential construction is in the early stages of a recovery that is expected to remain on a firm growth path,” it said.
On retail, which comprises 6 per cent of revenue, it said spending in Woodie’s stores “increased strongly”.