REG - Howden Joinery Grp - Trading Update

Howden JoineryAnnouncement

30/04/2024 07:00

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RNS Number : 4815M  Howden Joinery Group PLC  30 April 2024

30 April 2024

Trading update

Howden Joinery Group plc, the UK's largest specialist trade kitchen and
joinery supplier, today announces a trading update for the first four periods
of 2024 (16 weeks to 14 April 2024).

Current trading

UK depot revenue in the period was +5.4% ahead of the prior year and +4.0%
ahead on a same depot basis(1).

As a result of the additional 53rd week in 2023, there was an earlier start to
FY2024 with depots trading in the first week of the current year when they
were closed in the prior year. This 'phasing' impact corrects itself at the
end of FY2024. Adjusting for this, UK depot revenue was +1.9% ahead of the
prior year and +0.5% ahead on a same depot basis.

 

Revenue in the international depots(2) (c.3% of Group revenue) in the period
was +4.6% ahead of the prior year and -0.1% lower on a same depot basis.
Adjusting for the phasing impact noted above, performance was +2.2% ahead and
-2.5% lower on a same depot basis.

 

At the start of the new financial year, we have implemented modest price
increases across all geographies, that are being retained at acceptable levels
as we continue to maintain the right balance between margin and volume, in
line with ongoing market conditions.

 

Business developments

We are continuing to invest in our strategic initiatives and in 2024 we plan
to open around 30 new depots in the UK, around 5-10 new international depots,
and refurbish around 85 older UK depots. To date, 6 new UK depots have been
opened, with one new international depot in the Republic of Ireland. We have
refurbished 10 older depots in the UK in the period.

 

New product introductions for 2024 include 9 new kitchen ranges. Our new
fitted bedroom ranges have been on sale in all our depots since the start of
the year and our paint to order and solid worksurface ranges are generating
encouraging attachment rates to kitchen sales. Digital investments continue to
support our customers and we are rolling out an enhanced 'click and collect'
service in the UK depot network.

 

Commenting on Howdens' current trading Andrew Livingston, Chief Executive
said:

"We have made an encouraging start to the year with trading in line with our
expectations. We are also continuing to make good progress in implementing our
strategic initiatives which drive profitable growth. We are on track with the
outlook for 2024, while mindful of the second half weighting of sales from our
Autumn peak trading period."

 

Next scheduled announcement

The Group will release its half year results on 25 July 2024.

( )

 For further information please contact
 Howden Joinery Group Plc                        Media Enquiries
 Paul Hayes, CFO                                 Andrew Porter (Brunswick)

 Tel: +44 (0) 207 535 1110                       Tel: +44 (0) 207 404 5959
 Mark Fearon, Director of IR and Communications

 Mobile: +44 (0)7711 875070

 

( 1) same depot basis for any year excludes depots opened in that year and
the prior year.

( 2) International, in local currency, includes five depots opened in the
Republic of Ireland during 2023.

 
Note to editors:
1.   About Howden Joinery Group Plc

Howdens is the UK's number one specialist kitchen and joinery supplier. In the
UK, the company sells kitchens and joinery products to trade customers,
primarily local builders, through 840 depots. In 2023, the Group generated
revenues of around £2.3 billion and profit before tax of £327.6 million.
Around 35% of Howdens' cost of goods sold are products manufactured in-house
at its two principal factories in Runcorn, Cheshire, and Howden, East
Yorkshire both of which have achieved carbon neutral status. At the end of
2023, Howdens operated from 65 depots in France and Belgium and 10 depots in
the Republic of Ireland.

 

2.   Provisional financial calendar
 Reporting period        Scheduled date    Financial Disclosure (Revenue)
 Annual General Meeting  2 May 2024        n/a
 Half Year Results       25 July 2024       Trading Periods 1-6
 Trading update          7 November 2024   Trading Periods 1-11
 End of financial year   28 December 2024  n/a
 Full Year Results 2024  27 February 2025  Trading Periods 1-13

 

3. Cautionary statement

Certain statements in this announcement are forward-looking. Although the
Group believes that the expectations reflected in these forward-looking
statements are reasonable, we can give no assurance that these expectations
will prove to have been correct. Because these statements contain risks and
uncertainties, actual results may differ materially from those expressed or
implied by these forward-looking statements. We undertake no obligation to
update any forward-looking statements whether as a result of new information,
future events or otherwise.

 

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