Howdens Joinery has swung to a profit for the past half-year after soaring demand for home improvements lifted revenues sharply.
Shares in the kitchen products provider ticked higher after it revealed pre-tax profits of £119.2 million for the half-year to June 12, compared with a £14.2 million loss for the same period last year.
Domestic and international growth plans have been outlined after performance came in ahead of original expectations.
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The group said this was buoyed by a 68.8 per cent jump in group revenues to £784.9 against the previous half-year - albeit materially impacted by Covid-19.
Sales were also a fifth higher than pre-pandemic levels from 2019.
The company said it has benefited from “pent-up demand” as customers chose to spend more on their homes following the pandemic.
As reported, 100 roles are being added across East Yorkshire manufacturing sites in Howden and Holme-on-Spalding-Moor.
Chief executive, Andrew Livingston, said: “This robust performance demonstrates the strength of our trade only, in-stock, local business model and the benefit of pent-up demand as people choose to spend more on their homes. With that in mind, we now believe there is potential for at least 900 depots in the UK, including 20 to 25 in Northern Ireland, and plan to start testing the Howdens model in the Republic of Ireland in 2022.
“While we are aware that economic uncertainties persist and also of the strong comparatives we will trade against in the second half, we are encouraged by the progress made so far in 2021 and remain confident in our business model for the future.”
In just 16 years Howdens has delivered more than six million fitted kitchens to the UK market, and now has a network of 761 depots, supplying to the trade.
A further 28 are anticipated to open in the second half of the year in UK and France, with capital investment for the year anticipated at around £90 million.
Shares were 2 per cent higher at 897.6p.
