Wolseley sees UK revenues slip

The group, which has a base in Ripon, North Yorkshire, and generates sales of more than £13bn a year and is the world’s largest specialist distributor of plumbing and heating products, said UK profits fell by 10% to £28 million in the three months to April 30.

This included a £4m rise in bad debt charges and followed “significantly” lower revenues at consumer-focused Bathstore, which is reportedly up for sale as Wolseley looks to focus on core trade operations.

Plumbing chain Plumb Center was also hit by the loss of a large parts supply contract as well as fewer boiler replacements following the end of the Government’s scrappage scheme a year ago.

Building trade supplier Build Center, which is also thought to be up for sale, improved its performance while the company’s drain, pipe and climate businesses all did well.

A good showing in the US and Northern Europe helped to lift Wolseley’s sales overall by 1% in the quarter to April to £3.27bn, but UK revenues fell by four per cent with like-for-like growth also falling sharply to just one per cent from eight per cent in the previous three months.

Group trading profits for the quarter rose by 30 per cent to £131m as the US, Nordic and French operations all posted healthy gains.