Builders merchants and DIY retailer Grafton Group Plc said full-year profits were expected to be in line with expectations on the back of a 10% rise in revenues driven by its Irish and Iberian businesses.
In a trading update ahead of full-year results in March, Grafton said total 2025 revenue rose 10.4% to £2.52bn as a weaker home improvement and maintenance market in Britain weighed as did Northern Europe.
Grafton also announced a change in its reporting structure, with the business split into four geographic segments. The Island of Ireland, comprising Chadwicks, Woodie's and MacBlair; Great Britain, with Selco, Leyland SDM, TG Lynes, CPI Euromix and StairBox; Northern Europe, made up of Isero and Polvo in the Netherlands and IKH in Finland and Iberia, containing the Escoda unit in Spain.
"Whilst the Island of Ireland and Iberia segments performed strongly, meaningful recovery in Great Britain and Northern Europe did not materialise in 2025, and the timing of any improvement in these two segments in the year ahead remains uncertain," the company said.
"We will continue to manage our business with a tight focus on efficiency and cost control."
"Although momentum continued to moderate across the second half of the year, the outlook for Grafton remains favourable, supported by structural growth drivers, strong market positions across all regions, the recovery potential in Great Britain and Northern Europe, a robust balance sheet, and a healthy acquisitions pipeline."
Reporting by Frank Prenesti for Sharecast.com