UK's Travis Perkins reports fall in like-for-like sales amid construction slump
UK's Travis Perkins reports fall in like-for-like sales amid construction slump Oct 15(Reuters) - British building materials supplier Travis Perkins TPK.L on Thursday reported a 1.3% fall in like-for-like sales in the third quarter, as construction activity and consumer spending remain subdued amid geopolitical uncertainty.
Soaring mortgage rates along with rising construction costs and inflation have prolonged the downturn in construction activity, weighing on demand from tradespeople, a major customer base for the company
The firm, which operates the Toolstation UK brand, reported a 1.6% fall in third-quarter group revenue
The company noted a tougher comparison from discounts provided in the same quarter a year ago
Travis Perkins' stock is down 6.6% this year, despite receiving a temporary boost from the UK's 'Your First Home' scheme that is expected to lift new home construction
Under CEO Gavin Slark, it initiated a turnaround plan that includes raising prices to pass on cost increases due to the Middle East conflict
"Our ongoing cost discipline and trading approach are protecting profitability whilst we continue to identify and implement further operational efficiencies," Slark said
(Reporting by Simone Lobo in Bengaluru; Editing by Janane Venkatraman)
((Simone.Lobo@thomsonreuters.com, +919920570373))
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UK's Travis Perkins reports fall in like-for-like sales amid construction slump
Brief: Travis Perkins Reports Q3 Like-For-Like Revenue Declined 1.3%