27th Feb 2014 09:33
LONDON (Alliance News) - Howden Joinery Group said Thursday pretax profit rose to GBP138.4 million for the full-year as the firm continued to invest across its business interests as trading conditions improved during the second-half.
The trade kitchen and joinery products group said UK depot revenue grew 7.8% to GBP940.7 million, up 5.6% on a same depot basis, with growth of around 10% recorded in the second-half of the year.
Group revenue came in at GBP956.5 million, up from the GBP887.1 million recorded last year.
In its preliminary results for the 52 weeks to December 28, 2013, Howden said pretax profit before tax and exceptional items increased to GBP138.4 million from GBP112.1 million last year, and reported a drop in its net interest charge of GBP3.6 million, due to a decrease in the pensions finance expense, it said.
The FTSE 250-listed firm has also improved its cash position during the course of the year, holding net cash at year-end of GBP150.5 million, compared to the GBP96.4 million recorded last year.
Other operational highlights in 2013 include the opening of 30 new depots - bringing the total to 559 - the completion of a two-year investment programme and the termination of leases on seven legacy properties.
Howden said it has recommended a final dividend 4.5 pence per share, resulting in a full-year dividend of 5.5 pence per share, up from the 3 pence per share paid for 2012.
Chief Executive, Matthew Ingle, said, "Howdens has delivered another good set of results in 2013, making further progress on sales and profitability. We have generated strong cash flow, enabling us to recommend a substantial increase in our dividend.
"We have also continued to invest in all aspects of the business, as we improve our operations and pursue the growth opportunities before us. This included opening new depots, investment in new manufacturing capacity and the service which our existing depots provide, as well as introducing new products," he added.
The firm retains its outlook for the 2014 and said that trading at Howden Joinery UK depots for the first two periods of 2014 saw revenue rise 7.3%, in line with management expectations.
Shares in Howden were trading up 2.36% at 381.1 pence per share Thursday, one of the biggest gainers on the FTSE 250.
By Alice Attwood; [email protected]; @AliceAtAlliance
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