Importer distributor James Latham plc said it is 8% ahead of last year on the back of higher volumes and higher product prices.
In a trading statement, the company said revenues for the first four months of its financial year – April-July – were 8% higher on a like-for-like basis than the same period in 2010.
Although volumes and prices were up, margins were lower and continued to be under pressure due to competition. “However, overall we continue to trade in line with market expectations,” the statement said.
The directors reported investment plans had continued and the purchase of a freehold site in Leeds for £2.7m to relocate the company’s largest business from nearby Ossett had been completed. This site is being improved with modern racking systems.
Warehouse space was also being increased at the Hemel Hempstead depot along with upgrades at Thurrock to develop the door panels and decorative panel business.
Lathams warned that the trading environment remained challenging. Levels of activity were mixed with some of its customers very busy and others quiet. Some sectors had been showing year-on-year growth, while others had slowed.
“The company is well placed to weather these uncertain trading conditions, with a strong financial base, a wide range of customers operating in many sectors of the economy and an experienced team.”
The company’s last full accounts ending March 31 posted a 43% increase in profits at £8m on sales of £130m, which were up 12.8%. Interim results are due in November.
