Wickes sales surge as Brits embrace DIY during lockdown

Foreign media reported that Wicks' sales increased in the six months ending May 22 as British people started DIY and home renovation during the lockdown.

The DIY retailer reported a 46% year-on-year sales increase compared to the same period in 2020 and it now expects full-year adjusted pre-tax profits to be at the top end of analysts’ expectations.

Trading was particularly strong in April, driven by local trade and DIY sales and boosted by digital activity. Data subsequently recovered and was in line with expectations in May. The retailer said total same-store sales for the period were up 45.7% year-on-year, and 23.1% higher than the same period in 2019. In its core sales categories, like-for-like sales were up 53.1% year-on-year and 46.2% year-on-year.

The retailer is expecting strong like-for-like sales growth in the second half of the year, encouraged by kitchen and bathroom sales following the reopening of its Do It For Me showrooms on April 12. It now expects first-half adjusted pre-tax profits of around £45m, with full-year adjusted pre-tax profits in the upper half of analysts’ forecast range, currently between £55m and £74m.

“I’m proud. I’m pleased that the whole business is responding to the continued strong demand for our products and services,” said David Wood, Chief Executive Officer of Weeks . “Availability constraints and inflationary pressures on some raw materials have been well noted, but we have strong relationships with our suppliers and are working closely with them to ensure we continue to provide our customers with the products they need at the best possible value.”

The company said it had encouraging sales leads and order pipeline for kitchen and bath and expected strong year-over-year sales growth in the second half of the year.

But there are clearly continuing uncertainties in the second half of the year, for example the company is still subject to supply constraints on some raw materials and inflationary pressures, but it is working with suppliers to ensure deliveries to customers . The company's shares rose 5.1% to 269 pence after early trading on Wednesday .

DIY

U.K.

Wickes