Wickes’ profits surge in ‘year of excellent growth’

Wickes posted a 71.7% increase in adjusted profit before tax to £85m on sales up 14% to £1.53bn. On a reported basis, pre-tax profit rose 126.3% to £65.4m.

The company attributed the performance to factors including market share gains in core areas, a strong digital business and a strengthened position with trade customers. 

Like for likes climbed 13% year on year and were ahead 18.6% versus 2019 in the 12 months to January 1.

Wickes said that in the first 11 weeks of its new financial year, as it annualised strong comparative numbers, core sales were down 6.7% year on year and 26.3% ahead on a two-year basis, “notably driven by buoyant demand from local trade with trade customer order books at record levels”.

It said ”further progress” was expected in the year ahead, “being mindful of recent geopolitical events and macroeconomic uncertainty”.

Chief executive David Wood said: “I am delighted to report a year of excellent growth. Our performance is testament to the resilience and hard work of our colleagues, our strong supplier relationships, uniquely balanced business model and market-leading customer proposition.

“Our strategy is delivering strong growth and return on investment. The results we are seeing, plus these strong returns, give us the confidence to accelerate our investments to drive further growth.

“Looking ahead, we expect to continue outperforming the market and are well-placed to capitalise on the ongoing requirement for home improvement – namely an ageing housing stock, favourable consumer trends, and the increased focus on insulating and retrofitting homes. While we recognise the pressure that consumers will be facing in 2022, we have the right model, a strong pipeline and order book, and remain confident of making further progress in the current year driven by a material increase in ‘do it for me’ revenues.”

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