Travis Perkins restarts Wickes demerger process as profit slumps
Travis Perkins has recommenced the process to demerge its Wickes home improvement business, the company said on Tuesday.
The group had put the process on hold at the start of the pandemic in March last year.
CEO Nick Roberts believes it is the right time for Britain’s biggest seller of building materials to restart the process.
“The business is in great shape to embark on its journey as a standalone entity,” he said.
Profit and revenue falls
Travis Perkins said 2020 adjusted operating profit fell by more than 48 per cent to £227m, reflecting lower volumes during the pandemic.
Revenue fell 11.5 per cent to £6.16bn, with like-for-like sales down 7.1 per cent.
However, the group said Wickes performed well in the DIY market with like-for-like revenue growth of 19.3 per cent.
Shares in Travis Perkins are up 10 per cent this year and closed on Monday at 1,438p, valuing the business at £3.7bn.
CEO Roberts added: “Whilst uncertainty remains, we have seen a good recovery through the second half which gives us confidence that the fundamental drivers in our markets are robust.”