Wickes returns to growth in second quarter
Wickes saw its like-for-like sales grow by 3% in its second quarter despite a “challenging” trading environment.
This meant that the home improvement retailer’s group like-for-like sales edged up 0.7% in the first half of its financial year following a decline of 1.8% in its first quarter.
Wickes said like-for-like sales in core categories increased by 2.3% in the quarter with trade sales performing particularly well. Meanwhile, DIY sales improved in the period, although they remained lower year-on-year.
The retailer’s Do-It-For-Me category achieved like-for-like sales growth of 5.3% on a delivered basis, which marked a slight decline quarter-on-quarter as it continued to work through an elevated order book.
Wickes has completed six store refits in the year to date and will shortly be opening its first new store of the year in Chelmsford.
David Wood, chief executive of Wickes, said: “This has been an encouraging first half where we have again seen the benefits of our uniquely balanced business model delivering well for customers.
“Our performance has been underpinned by further momentum in trade, as local traders continue to turn to Wickes to save them time and money, an improving trend in DIY, and a good performance in Do-It-For-Me.
“As we continue to make progress across our strategic growth drivers, we are confident in the group’s prospects for both the remainder of this year and the longer term.”
Wickes has also announced a new capital allocation policy, which it said reflects confidence in its strategy and business model.
Wood added: “The policy focuses on delivering additional shareholder returns through a maintenance of the FY2023 dividend and the launch of a £25 million share buyback programme.”
