Travis Perkins, Britain's biggest supplier of building materials, has downgraded its annual profit forecast by as much as 27% today, blaming ongoing tough conditions in the new-build housing and renovation markets.
The group said it now expected 2023 adjusted operating profit to be in the range of £175m to £195m.
This is down from the £240m it had guided to in June, itself a 12% downgrade.
"Market conditions remain challenging with continued weakness across new build housing and domestic repair, maintenance and improvements," Chief Executive Nick Roberts said in a statement.
Britain's housing market has cooled this year after a jump in interest rates, which is deterring housebuilding and the housing transactions that often prompt repair and improvement work.
aa squeeze on disposable income also means that consumers are not spending on their properties.
Travis Perkins said it experienced "a notable deterioration in market activity and sentiment" in September, and its bottom line would be hit by deflation in commodity prices which meant it was selling existing stocks at lower market prices to stay competitive.
The group said it remained confident in the long-term outlook as Britain needed more homes and many existing buildings would need to be decarbonised.
Shares in Travis Perkins, which also owns Toolstation, have lost 13% of their value in the last six months.
