UK's Headlam launches review as first-half sales slump, losses widen

Headlam

14/07/2026 07:53

July 14 (Reuters) - British flooring distributor Headlam HEAD.L launched a strategic review on Tuesday after a sharp drop in first-half revenue and wider operating losses, as weak market conditions and supply constraints continued to weigh on trading.

     Here are some details:    
As part of the strategic review, Headlam is considering debt refinancing, further lender support, sale-and-leaseback of its Coleshill headquarters, additional property sales, partnerships and other corporate actions. 
The carpet maker said it has received financing proposals that could provide additional liquidity, but cautioned there was no certainty that any transaction or alternative solution would be completed.
The firm's first-half revenue from continuing operations fell 22.8% to £188.8 million ($252.2 million), while operating losses widened from £17.2 million a year earlier.
Headlam said its pivot to refocus on independent retailers and flooring contractors had led to reduced low-margin revenue, while poor inventory availability on core product lines and unseasonably warm weather hit sales.
Trading in July has been consistent with conditions seen in June, the company said.

($1 = 0.7487 pounds)

 (Reporting by Atharva Singh in Bengaluru; Editing by Mrigank Dhaniwala)
 ((Atharva.Singh@thomsonreuters.com;))