Grafton Group’s UK merchanting sales rose 7% in 2010 on the €1.32bn achieved in 2009, the group said in a trading update today.
After a reduction in sales in the first quarter of 2010, Grafton said the following three quarters each showed modest growth. Extreme weather in late November and December impacted negatively on sales.
Group turnover continued to improve, with a rise of 3% to €2bn (2009: €1.98bn). Sales in the second half were around €1.02bn, (2009: €0.99bn).
The decline in Irish merchanting turnover moderated further in the second half with sales down 7% relative to a fall of 16% in the first half.
Retailing sales finished the year down 7%, consistent with earlier trading statements issued by the group. Turnover in the group’s manufacturing division was down about 4% on 2009.
“Grafton’s financial position remains strong with good liquidity and positive cash flows from operations,” it said.
“The improvement in operating profitability evident in the first half has progressed strongly into the second half. The group is well positioned for continuing growth in earnings as its markets recover.”
Grafton’s UK business includes Buildbase and Jacksons Building Centres.
