Shares in building materials supplier and DIY company Grafton Group jumped today after it said that its revenue growth was ahead of expectations in March and April.
The Woodie's DIY, Home and Garden business and Chadwicks owner published a trading update ahead of its virtual AGM today.
In its trading statement, Grafton said its adjusted operating profit for year is now expected to exceed current consensus by about 15-20%.
Grafton Group said revenue from January to April 18 jumped by 32.9% to £846.8m with the company impacted by the closure of branches, stores and manufacturing plants, except for essential services, the same time last year.
Group revenue was up by 8.3% compared to the same time in 2019, it added.
The company said that despite the partial lockdown of the construction sector in Ireland, the overall group had a good start to the year, with revenue growth gaining good momentum in March and April.
Woodie's in Ireland and Selco in the UK made the strongest gains, continuing the trend from the second half of last year.
Total retailing revenues for the period under review jumped by 111.5%.
But it said that strong demand and supply side constraints contributed to longer lead times, an increase in product price inflation and shortages of a number of key categories of building materials in the UK and Ireland.
Gavin Slark, chief executive of Grafton Group, said that over a year has now passed since the first lockdown and he again acknowledged the "exceptional commitment" of the company's staff for enabling its businesses to trade in a safe environment.
"We have made a very positive start to the year and are encouraged by the improving trends and momentum in trading in the period which we expect to continue through the remainder of the half year," Mr Slark said.
"Despite some ongoing uncertainty related to the pandemic, Grafton is well placed for continued progress in the current year supported by our market leading businesses and strong financial position," he added.
