Business
Interim Results
Interim Results.
About this update from Headlam Group Plc
[{"type":"text","content":"\n \n \n 6 September 2022\n \n \n Headlam Group plc\n \n \n ('Headlam' or the 'Company')\n \n \n \n \n \n Interim Results\n \n \n \n \n \n Improved profitability despite economic backdrop\n \n \n \n \n \n Pleasing progress in delivery on the strategy\n \n \n \n \n \n Headlam Group plc (LSE: HEAD), the leading floorcoverings distributor, today announces its interim results for the six months ended\n 30 June 2022 (the 'Period') and an update on current trading.\n \n \n \n \n \n Period Overview\n \n \n \n \n \n Financials¹\n \n \n ·\n Total revenue of £323.8 million (H1 2021: £329.9 million), with a 5.2% uplift in Continental Europe helping to offset a 2.9% decline in the UK related to weakness in the residential sector\n \n \n · \n Gross margin temporarily lifted to a high of 33.7% (H1 2021: 32.7%) due to the unprecedented inflationary environment\n \n \n ·\n Underlying\n \n \n ²\n \n \n distribution costs and administrative expenses comparable with H1 2021 despite widespread operational cost inflation due to focus on operational efficiency and cost control (H1 2022: £91.1 million; H1 2021: £90.5 million)\n \n \n · \n I\n mproved underlying\n \n \n ²\n \n \n operating profit and underlying\n \n \n ²\n \n \n profit before tax of £17.9 million and £17.3 million respectively (H1 2021: underlying\n \n \n ²\n \n \n operating profit £17.4 million; underlying\n \n \n ²\n \n \n profit before tax £16.7 million)\n \n \n ·\n Statutory profit before tax\n of £21.6 million (H1 2021: £14.0 million), an uplift on underlying\n \n \n ²\n \n \n profit due to proceeds received as part of an ongoing insurance claim creating a net profit from non-underlying items\n \n \n ·\n Undrawn banking facilities of £74.0 million and net funds\n ³\n of £6.0 million at the Period end (31 December 2021: £53.7 million net funds\n ³\n )\n \n \n ·\n Progressive dividend reflecting the improved profit performance, with a 2022 interim ordinary dividend of 6.2 pence per share (2021 interim ordinary dividend: 5.8 pence per share)\n \n \n \n \n \n Operational\n \n \n ·\n Good progress in demonstrating and delivering on the revenue growth and operational efficiency strategy\n \n \n \n · Commissioned specialist research indicating improved market share in the Period\n \n \n ·\n New and improved\n trade counter sites demon...