Wickes on track to meet FY estimates

(Sharecast News) - DIY chain Wickes said it was on track to meet expectations of a 10% jump in adjusted annual profit despite an uncertain consumer environment. The company on Tuesday posted a 1.1% rise in earnings to £27.6m for the six months to June 27. Like for like sales rose 0.7%.

Revenue rose 2.1% to £865.3m, with LFL sales up 0.7% as wet Q1 weather held back retail demand before a modest Q2 recovery.

Retail revenue edged 0.8% higher to £639.8m, though LFL fell 0.3%. TradePro remained strong, up 5%, while DIY sales were broadly flat.

Digital convenience continued to attract customers, with Click & Collect and Home Delivery rising 7% in Q2.

D&I delivered revenue increased 5.7% to £225.5m, marking a fifth straight quarter of growth, driven by Lifestyle Kitchens and Bespoke Bathrooms.

Project volumes rose, though ordered sales by value were slightly lower as customers were more cautious on larger Bespoke Kitchen purchases.

Wickes is expecting full-year adjusted profit before tax of £54.6m, with a range of £52.8m to £56.0m, according to a company-compiled consensus.

Reporting by Frank Prenesti for Sharecast.com