Tyman trades in line despite 'continued challenging market conditions'

16th Nov 2023 09:30

(Sharecast News) - Building products manufacturer Tyman said on Thursday that full-year adjusted operating profits would be in line with market expectations, despite experiencing "continued challenging market conditions" year-to-date.

Tyman said group revenue decreased by 9% year-on-year to £557.0m on a reported basis in the ten months ended 31 October, and by 10% on a like-for-like basis due to continued weakness in volumes.

However, Tyman said the "agility" of its teams in managing cost, together with the reversal of the pricing lag, had limited the decline in adjusted operating profit.

The FTSE 250-listed firm noted that its North American division was "making solid progress" in expanding its operating margin and was also benefitting from its acquisition of Lawrence Industries in July.

Tyman also highlighted the closure of its loss-making business in China and said it will continue to "review its cost base" in order to ensure it has the "flexibility to swiftly adapt" to any potential changes in demand.

Interim chief executive Jason Ashton said: "The group has delivered a solid trading performance despite the challenging market conditions and, consequently, we expect full-year adjusted operating profit to be in line with market expectations.

"Our continued focus on taking market share and enhancing our operational platform ensures that Tyman is well positioned for growth when the US housing market backdrop improves, building on our portfolio of highly engineered, differentiated products, market-leading brands, deep customer relationships, and sustainability credentials."

As of 0930 GMT, Tyman shares were up 0.54% at 279.0p.

Reporting by Iain Gilbert at Sharecast.com