24th May 2018 12:34
LONDON (Alliance News) - Floor coverings distributor Headlam Group PLC said Thursday its performance in the first four months of 2018 was "moderately below" expectations.
Headlam said trading in the period - from the start of 2018 to April - was "characterised by a soft UK market". The company's revenue grew by 0.6% in the period compared to the same period last year, but like-for-like revenue declined 5.4% in the period.
Its UK business saw a 6.3% like-for-like decline in revenue. This was caused primarily by a reduction in orders from its largest customer, which accounted for about 37% of the decline.
Headlam did stress, however, that the profitability associated with the customer was unchanged in the period against the same period last year.
The company said its trading in the year to date has shown "improvement" and is "broadly" in line with expectations.
Headlam said meeting its full-year expectations will "largely be reliant" on its trading in the "traditionally stronger" second half of the year and the "level of weakness experienced" in the period not continuing.
Shares in Headlam were down 3.5% to 465.50 pence each Thursday.
Related Shares:
Headlam