28th Apr 2021 09:48
(Alliance News) - Grafton Group PLC on Thursday said its revenue for 2021 has risen by almost a third in the first quarter, boosted by a strong performance in the Retailing arm.
Grafton shares surged 8.3% to 1,177.73 pence in London on Monday.
The Dublin-based building materials distributor and DIY retailer recorded revenue of GBP846.8 million between January 1 and April 18, an increase of 33% on the same period last year and an 8.3% rise compared to 2019.
The revenue gains were driven by the Retailing segment, with revenue more than doubling from a year prior and up 70% from 2019.
As a result of stronger than anticipated revenue growth in March and April, Grafton said its expected adjusted operating profit for the current financial year will be 15-20% ahead of the 2021 forecast of GBP206 million. However it warned against over-optimism, saying second half trading is likely to be influenced by the normalisation of consumer spending.
"We have made a very positive start to the year and are encouraged by the improving trends and momentum in trading in the period which we expect to continue through the remainder of the half year," said Chief Executive Gavin Slark.
"Despite some ongoing uncertainty related to the pandemic, Grafton is well placed for continued progress in the current year supported by our market leading businesses and strong financial position."
By Will Paige; [email protected]
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