Travis Perkins plc (TPK) Q2 2026 Earnings Call

Investor webinar replay

Replay transcript excerpt

Hi, good morning everybody and welcome to the results presentation for the half year for Travis Perkins. For anyone who doesn't know me, I'm Gavin Slark, I'm the CEO and I'm joined today by Duncan Cooper who is our CFO. The agenda for this morning is relatively straightforward. I will just give you one slide of a few headlines. I'll then pass you over to Duncan to take you through the financial review. I will then come back up and just give you a brief overview of where we are with the various businesses and then that should leave us some time for some Q&A and I'll talk you through the process for the Q&A as we go through later on. In terms of the results that we've announced this morning, obviously you'll see their revenue at 2.258 billion, down 1.8% in absolute terms. A chunk of that is down to the sale last year of the staircraft business, and then from a like-for-like perspective, our overall turnover was down just 0.7%. You'll see there also on the gross margin line, we've improved gross margins by 100 basis points. And some of you will remember when we announced the full year results earlier in March, we did talk about gross margin expansion being critical for the future success of the business. And Duncan will talk a little bit more about that later on. In terms of the adjusted operating profit, up by 6.3% to 67 million pounds. But I think one of the standout headlines in terms of the results this morning is where we are in terms of net cash before leases. So you'll see there that we now have net cash before leases of 55 million pounds compared to 103 million pounds at this point last year. so 158 million pounds improvement in 12 months on where we were and also a 51 million pound improvement on where we were in March compared to the year end so I think one of...