3rd May 2023 10:46
(Alliance News) - Wickes Group PLC on Wednesday said it saw "encouraging" results at the start of 2023, with mixed sales in line with its expectations and costs remaining manageable.
The Watford, England-headquartered home improvement products retailer said sales decreased by 0.6% on a like-for-like basis in the 16 weeks that ended April 22, while core sales decreased by 3.6% on the same basis. Wickes attributed the decline core sales to poor weather in the UK so far in 2023. It also noted the year-before comparative period benefited from extra sales of fencing following storms.
Wickes said sales trends improved towards the end of the quarter as conditions stabilised.
Wickes said Do-it-for-me delivered sales increased by 9.3% in the first sixteen weeks compared with a year prior, with a marginal year-on-year increase in orders. Wickes said the sales growth reflected its improved order position during the fourth quarter and a strong performance in its 2023 winter sale.
Trade sales continued performing well, which Wickes said reflected healthy trade order book pipelines, while DIY sales continued to decrease year on year.
Wickes said costs remained "well controlled", and it is benefitting from savings across distribution, logistics and store operations.
Chief Executive Officer David Wood said: "This has been an encouraging start to the year where we have again seen the benefits of our uniquely balanced business model delivering well in a challenging economic environment. Our performance has been underpinned by further momentum in trade, as local traders continue to turn to Wickes to save them time and money, and a strong performance in Do-it-for-me.
"As we continue to make progress across our strategic growth drivers, we are confident in the group's prospects for both the remainder of this year and the long term."
Shares in Wickes were up 0.4% in London on Wednesday at 138.20 pence.
By Emma Curzon, Alliance News reporter
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