Builders merchant now expects full-year profit to be no higher than 拢195m
Travis Perkins has again downgraded its forecasted profit as commodity product deflation and challenging market conditions hit its margins.
In June, the builders merchant warned operating profit would be lower than expected 鈥� around 拢240m 鈥� due to weak demand and higher interest rates.
In its third quarter trading update, issued this morning, the firm revealed it was now expecting its full-year profit to be between 拢175m and 拢195m with the slowdown in housing and RMI work being blamed.
Chief executive Nick Roberts said market conditions remained 鈥渃hallenging鈥� with deflation on commodity products 鈥済reater than anticipated鈥�.
鈥淭his has impacted on our trading margins and is reflected in today鈥檚 revised guidance,鈥� he said.
In 2022, adjusted operating profit was 拢295m.
Group revenue declined 1.8% in the three months to 30 September, while like-for-like sales were down by the same amount.
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