REG-WICKES GROUP PLC WICKES GROUP PLC: Trading Update

WickesAnnouncement

03/12/2021 07:05

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   WICKES GROUP PLC (WIX)
   WICKES GROUP PLC: Trading Update

   03-Dec-2021 / 07:00 GMT/BST
   Dissemination of a Regulatory Announcement that contains inside
   information according to REGULATION (EU) No 596/2014 (MAR), transmitted by
   EQS Group.
   The issuer is solely responsible for the content of this announcement.

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   This announcement contains inside information

    

   3 December 2021

                       Wickes Group plc - Trading Update

    Resilient trading and strong margin performance, FY2021 profit guidance
                                     raised

   Wickes Group plc, the home improvement retailer, today provides a trading
   update and raises FY2021 adjusted PBT* guidance to no less than £83m.

   Wickes has continued to perform well in the fourth quarter to date,
   benefitting from our balanced business model, with sales in line with
   expectations. Delivered sales in Do It For Me (DIFM) are strengthening as
   we work through an elevated order pipeline. Additionally, we continue to
   expect a higher carry over order book in DIFM, supported by continued
   strong sales which will benefit the first half of FY2022. As expected,
   Core sales are lower year-on-year against tough comparatives, remaining
   materially ahead on a two-year basis driven by a further strong
   performance from local trade underpinned by our digital TradePro loyalty
   scheme.

   Our agile business model and strong supplier relationships have resulted
   in a better than expected margin performance. We have been able to
   mitigate the pressures resulting from rising inflation and freight costs,
   while continuing to deliver excellent value for customers.

   As a result our revised FY2021 underlying PBT guidance is now no less than
   £83m, ahead of prior guidance and consensus expectations**.

   Whilst the recent changes to UK Government Covid-related guidance are
   unlikely to have a material impact on performance over the balance of the
   year, the trading environment continues to remain uncertain and we will
   monitor the situation closely.

   David Wood, CEO of Wickes commented: "This has been a period of further
   progress for Wickes, where our focus on value, stock availability and
   exceptional service have underpinned our customer offer. Our forward
   planning and early strategic decisions have resulted in an improved profit
   performance, and we continue to navigate inflationary pressures and raw
   material constraints well. Clearly, this remains a time of uncertainty,
   however our differentiated business model leaves us well-placed to
   continue to outperform within a large and growing home improvement
   market."

    

   Wickes                           Headland +44 (0) 0203 805 4822
   Investor Relations               PR Advisor to Wickes
   Andy Hughes +44 (0) 776 736 5360 Lucy Legh, Will Smith, Charlie Twigg

   investorrelations@wickes.co.uk   wickes@headlandconsultancy.com

   *Adjusted PBT represents profit before tax on an IFRS basis and excludes
   adjusting items which will comprise demerger costs and IT separation costs
   for 2021

   **Prior guidance from the interim results, and repeated at the Q3 stage,
   was "underlying PBT towards the upper end of a £67-75m range". Current
   analyst consensus is £74-75m

   About Wickes

   Wickes is a digitally-led, service-enabled home improvement retailer,
   delivering choice, convenience, value and best-in-class service to
   customers across the United Kingdom, making it well placed to outperform
   its growing markets. In response to gradual structural shifts in its
   markets over recent years, Wickes has a balanced business focusing on
   three key customer journeys - Local Trade, DIY (together "Core") and Do It
   For Me ("DIFM").

   Wickes operates from its network of 232 right-sized stores, which support
   nationwide fulfilment from convenient locations throughout the United
   Kingdom, and through its digital channels including its website and
   TradePro mobile app for trade members. These digital channels allow
   customers to research and order an extended range of Wickes products and
   services, arrange virtual and in-person.

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   ISIN:           GB00BL6C2002
   Category Code:  TST
   TIDM:           WIX
   LEI Code:       213800IEX9ZXJRAOL133
   OAM Categories: 3.1. Additional regulated information required to be
                   disclosed under the laws of a Member State
   Sequence No.:   128194
   EQS News ID:    1253919


    
   End of Announcement EQS News Service

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