The group’s UK business, which includes the Buildbase and Jacksons chains, recorded operating profits (before property profit and amortisation) of €49.8m, down from €54.1m a year ago.
Martin Lee, Buildbase commercial director for timber and building materials, said the chain would shortly announce Programme for the Endorsement of Forest Certification schemes chain of custody certification for all its branches. Buildbase already holds Forest Stewardship Council certification.
“Timber is still a very important side of the business,” said Mr Lee. “We see chain of custody accreditation as being key in the development and growth of our timber operations.”
Buildbase, which reported unchanged sales, has grown by acquisition during the summer, taking over the eight-branch Scottish independent builders and timber merchant Fleming Holdings to substantially strengthen Buildbase’s position in Scotland. It also bought Ipswich-based Holden Timber.
Jacksons delivered a “robust performance” despite more competitive trading conditions in the East Midlands market.
Grafton’s UK sales were €836.5m, up from €793.3m a year ago.
The group said the slowdown in UK repair, maintenance and improvement work continued into the first half of 2006, though market conditions have since improved.
Overall group sales were up 10% to €1.43bn, with the Irish merchanting and DIY businesses performing strongly in favourable market conditions. Operating profits were also up 10% to €106.9m.
Grafton intends to look for further acquisition and development opportunities.
