Wickes maintains full year profit guidance despite drop in sales
Home improvement retailer Wickes has maintained its full year profit guidance despite it posting a 4.2% decrease in like-for-like sales in the first 16 weeks.
Retail like-for-like sales edged up 0.6% in the period ending 20 April to mark the retailer’s fourth consecutive quarter of like-for-like growth. However, design and installation sales fell by 18.2% following a particularly good performance in the corresponding period in the prior year, when it was still benefiting from an elevated order book.
In contrast, Wickes’ TradePro division continued to perform well with sales rising by 12%. The retailer said trading was boosted by local trade professionals’ healthy order books and continued growth in its customer base, which grew by a further 57,000 members.
David Wood, chief executive of Wickes, said: “In the first few weeks of 2024 we have been encouraged that DIYers and local trade professionals continue to turn to Wickes as a brand they trust for great value and service and as a result we have once again grown market share.
“Although the market for larger ticket items remains subdued, we have seen strong sales growth in our Wickes Lifestyle Kitchens, which match customer demand for quality with great value.”
Wickes said it is continuing to focus tight cost control throughout the business. It is also investing in growth which has included the opening of its first new store of the year in Long Eaton and two refits in Ashford and Burgess Hill.
The retailer said its overall outlook for adjusted pre-tax profit for 2024 remains unchanged.
Wood added: “While the external environment remains uncertain, our overall profit expectations for the full year remain unchanged. Looking ahead, we continue to invest for future growth with our programme of store refits, new store openings and investment in both technology and Solar Fast, building an even stronger Wickes for the future.”
