UK housing "revival" gives Grafton a boost in first half

10th Jul 2014 08:14

Builders merchant and DIY group Grafton said it saw an increase in momentum in the first half, with demand tracking an ongoing economic recovery in the UK and Ireland.Ahead of its interim results due out on August 27th, the company said that the first-half financial performance is expected to show a "significant improvement" on last year.Revenues in the six months to June 30th were up 11.3% at £1.015bn.Trading conditions were said to be "favourable" during the first half of the year, as the economic recovery became "firmly established and gradually gained momentum". Better weather conditions than last year also provided a boost to demand, especially in the UK merchanting business which accounts for three quarters of group revenue. Grafton also said it benefitted from the "continued revival in the UK housing market" with strong investment in resident housing projects."Our UK and Irish merchanting businesses have benefited from an improved market backdrop which, combined with our organic growth plans, means the group is well placed to build on its strong first half performance," said Chief Executive Gavin Slark.BC