// Travis Perkins shares rise following a better-than-expected second half performance
// Wickes’ profits were interfered by a £246m impairment relating to restructuring costs
Wickes’ parent company Travis Perkins shares rose following a strong second half performance, despite the company’s “extremely challenging” year.
Sales climbed 4.8 per cent to £6.74 billion and, on an adjusted basis, pre-tax profit rose 1.2 per cent to £347 million in the year to December 31.
However, adjusted operating profit at the consumer division plummeted 15.9 per cent to £69 million in the year, when sales slipped 0.9 per cent to £1.6 billion.
Adjusted operating profit at Wickes plummeted by 19 per cent.
Travis Perkin’s like-for-like sales fell by 4.4 per cent in the year.
The company booked a £49 million pre-tax loss in 2018, compared with a £290 million profit the previous year.
Meanwhile, Wickes’ profits were interfered by a £246 million impairment relating to restructuring costs.
“The UK DIY market environment has been extremely challenging, driven by the wider macro environment, with declining consumer confidence, and through competitive pricing pressure,” the company reported.
The kitchen and bathroom sector suffered the most during the period.
In the fourth quarter, Wickes’ sales improved following a high demand in design-and-install services.