In the UK, which accounts for 15% of group revenue, Wolseley saw its revenues fall 3% on a like-for-like basis in the six months to 31 January 2012 and the underlying trading margin shrank slightly to 5.5% from 5.6% last time.
However, worldwide group revenue was up 3% to £6,841m (H1 2011: £6,629m). Pre-tax profit was up 28% to ££250m (H1 2011: £195m).
Chief executive Ian Meakins said: "Wolseley has delivered another decent performance, despite challenging economic conditions in Europe, with like-for-like revenue growth of 5%. Good cash flow has enabled us to continue to reduce net debt and to invest for future growth. We have completed a number of value-enhancing acquisitions in the US and Nordics and they are being integrated promptly.
"Like-for-like growth trends for the Group since the end of the period have been slightly lower than the first half overall with the US a little better and Europe a little weaker. We will continue to pursue operating efficiencies and remain focused on improving customer service, gaining market share and protecting our gross margins. We will continue to invest selectively in the business where we can exploit growth opportunities and generate good returns.”
Dividends have been raised 33% to 20 pence per share.
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