25th Feb 2021 10:03
(Alliance News) - Howden Joinery Group PLC on Thursday declared dividends for both 2019 and 2020 despite lower earnings generated during the year.
The London-based supplier of kitchens and joinery products to the building trade said revenue for 2020 was GBP1.55 billion, lower than GBP1.58 billion reported a year earlier. Howden Joinery UK depot revenue reduced by 2.6% to GBP1.51 billion, and by 4.5% on a same-depot basis.
Pretax profit was GBP185.3 million for 2020, lower than GBP260.7 million in 2019, reflecting the lower gross profit, together with a modest increase in operating costs.
The company declared a final dividend of 9.1 pence per share and special dividend of 9.1p per share to be paid in place of the cancelled final dividend for 2019. Howdens paid no interim dividend in 2020, compared to 3.9p in 2019, so the 2020 full-year dividend of 9.1p is down 30% from 13p in 2019.
"Howdens performed well during 2020. We adapted to Covid trading conditions and progressed our strategic plans for the business," said Chief Executive Andrew Livingston.
"Given the Covid-related and other economic uncertainties, we remain cautious about underlying market conditions; however, we are encouraged by the progress made in 2020 and remain confident in our business model for the future," added Livingston.
Howdens shares were trading 1.8% lower in London on Thursday morning at 728.45p each.
By Evelina Grecenko; [email protected]
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