US building supplier Wolseley said today pre-tax profit dropped 14% for the five months to end-December due to a housing market slowdown in America.
The company said one-off costs and higher interest charges had contributed to the fall in earnings.
The company said that uncertainties relating to the future direction of the US housing market are likely to remain throughout the second half, though it was confident of outperforming rivals this year.
The world's largest distributor of plumbing and heating products and building materials had warned last November that first quarter results would be hit by a weak US housing market and higher interest costs.
Revenues rose 15% after currency translation and acquisitions, but margins eased due to the lower margins in North America and the UK.
In North America, where the company generates nearly 65% of its turnover, revenue rose by around 2%, with trading profit down 15%.
The number of new US homes being built is at a six-year low, following strong growth of the past couple of years.
Successive interest rate rises since 2005 have dampened the market, as has a slowdown in the economy, analysts have said.
