Wickes profits and market share rise
Wickes has bucked the DIY sector trend with rising profits and market share in the financial year. Like-for-like sales were up by 5.3% while the rest of the DIY sector remained broadly flat, while profits rose by 11.7% to £87m. Travis Perkins said. It benefited from Wickes’ “significant range reviews in 2015 providing customers with more clearly defined value, good quality and premium ranges”.
In addition they have made significant investment in their online offerings with over 8% of their sales coming from a ‘click-and-collect’ service. It also invested in new technology for the company with supply chains and network connectivity benefitting to a more efficient service.
Travis Perkins chief executive John Carter said: “The group has delivered a good performance in 2015.
“We believe that the growth drivers in our markets remain strong and welcome the return to growth of mortgage approvals and secondary housing transactions in the second half of 2015.
“This gives us further confidence that through our strategy we will successfully deliver against our medium-term targets of sales outperformance, low double-digit profit growth and improving returns.”
With stiff competition on the horizon from Australian group Bunnings' takeover of rival Homebase, this boost in sales will serve as a good foundation in an already competitive market.