Builders’ merchant Travis Perkins has posted a plunge in preliminary profits but said its Wickes DIY chain has made a good start to the new financial year in key categories.

Travis Perkins reported a 22.5 per cent fall in adjusted pre-tax profit to£202.5m on flat sales of£3.18bn but said it made market share gains. Over the year, headcount was slashed by 16 per cent and the business concentrated on cutting costs and debt.

In the first five weeks of the new year retail like-for-likes fell 12.2 per cent but the company said: “We are continuing to outperform our markets, aided in particular by competitor closures and the success of Wickes’ new marketing strategy, which uses TV and radio advertising rather than direct marketing.

“This has contributed to a strong start to the year for our showroom category in Wickes, and on an ordered basis Wickes’ overall like-for-like sales are up by 1.5 per cent.”

The company said: “Until we can see signs of a recovery in our markets, we do not think it worthwhile to comment on, or further develop, our longer-term strategies.

“There will come a time when such a review and report to shareholders will be appropriate, but that time is difficult to determine in present conditions.”

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