Thursday 16 September 2021 2:36 pm

Wickes instates first-ever dividend following Travis Perkins demerger

Revenue at Wickes has grown steadily on pre-pandemic levels, pushing the home improvement store chain to instate its first ever interim dividend.

The Watford-headquartered group posted revenue growth of 22.4 per cent on 2019 levels, and 33.1 per cent on a like for like basis, in its interim results for the six months to 26 June.

Wickes’ dividend of 2.1p is set to repay shareholders following a turbulent trading year in 2020, a year doused in supply chain hang ups and raw material shortages.

Shares jumped 2.41 per cent to 238p per share in its afternoon trading.

In the first set of results since its separation from Travis Perkins in April, Wickes recorded an interim profit before tax of £35.7m, an increase from the £5.5m it lost in the same period the prior year, which it put down to the demerger and IT separation costs.

Chief executive David Wood hailed the positive growth following it cutting ties with fellow retailer Travis Perkins.

“This is a strong first half performance underpinned by our attractive digitally-led, service-enabled proposition. In our first set of results since demerger, we have delivered an increase in sales and profits as we continue to help the nation feel house proud.

“Throughout this period, our strong relationships with suppliers means that we have navigated inflationary pressures and raw material constraints well – and this remains the case.”

Although still grappling with material shortages, the group’s operating profit surged more than 368 per cent to £51.1m in the period.

While basic earnings per share swung from a lost in the first half of last year, to 13.5p in the past six months.