Despite further price rises across its outlets, Travis Perkins saw revenue fall 2.5% to £2,472m in the first six months of 2023.
Pre-tax profit for the period was down 37% to £85.7m (2022 H1: £136.6m).
Capital expenditure was scaled back 20% to reflect market conditions. The planned expansion of Toolstation has been paused, despite this segment seeing 9% revenue growth, and European expansion has been slowed.
Travis Perkins opened 163 new Toolstation branches in the UK between 2020 and 2022 but the focus for 2023 is on growing those new branches as well as delivery of a new distribution centre.
The rollout of UK branches will resume in 2024, the company said.
Chief executive Nick Roberts said: “Market conditions have been challenging, which is reflected in both our first half performance and our outlook for the balance of the year. The group remains focused on striking the appropriate balance between seeking to protect shorter term profitability, delivering our strategic objectives and being well placed to benefit when market conditions improve.”
He added: “Whilst near-term trading is expected to remain difficult, we continue to work to position the group to benefit from the long term structural drivers in our end markets. The opportunities presented by the requirement to decarbonise the UK’s built environment and address the shortage of both private and social housing remain significant and our unique portfolio of businesses, coupled with the development of innovative solutions for our customers, will enable the group to deliver long term growth and create value for shareholders.”
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