Wickes shares jump as profits outlook brightens amid sales improvement
Wickes shares jump as profits outlook brightens amid sales improvement
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Shares in DIY chain Wickes have soared after the company reported better-than-expected profits due to increased sales, despite a continued squeeze on spending for big-ticket items. The retailer revealed that like-for-like retail sales to DIY customers and local trade professionals rose by 2.6% over the six months to December 28, an increase from growth of 0.6% in the first half of the year.
Wickes stated that recent measures had helped reduce comparable store sales declines across its design and installation ranges to 8.4%, compared to the 18.3% drop seen in the previous six months. In the fourth quarter, ordered design and installation sales returned to growth, while delivered sales fell by 3.1%, a significant improvement on the 13.3% fall recorded in the previous three months.
Wickes shares jumped more than 10% at one point in Tuesday morning trading as it announced that full-year profits would be towards the upper end of the £39.7m to £44m range expected in the market. Wickes commented: "Design and installation sales improved across the second half, reflecting a number of actions we have taken to improve our customer offer and experience during 2024.
