Builders merchant and DIY group Grafton Group has reported revenues for 2018 of £2.72 billion, an increase of 8.7% on the previous year.

In a trading update for the year to the end of December, the company said the rate of growth had moderated in November and December - as expected - following above trend growth in September and October. 

"With a good performance over the year, the group anticipates reporting EBITA for 2018 slightly ahead of the top end of analyst expectations," the company added. 

Grafton compiled analyst forecasts show consensus EBITA for the year of £185.1m with the top end of the range coming in at £188.5m.

Grafton, which owns the Woodies DIY retail chain as well as its builders merchant business in Ireland and the UK, will report its full year results on February 28.

Gavin Slark, the chief executive of Grafton Group, noted that the company's strong performance was boosted by contributions from both organic growth and the Leyland SDM acquisition.

"The group continues to benefit from its exposure to multiple geographies and its diverse customer base," Mr Slark said. 

"The group's cash generative businesses, strong balance sheet and low level of net debt support our development strategy for the year ahead," he added.