Howdens

Apr 28, 2023

27 Apr 2023 Howden Joinery Group has reported a trading update Listed kitchen and joinery products supplier Howden Joinery Group has reported an encouraging start to 2023, with the company on track for its outlook for the year and revealing plans to open new depots in the UK, France and Republic of Ireland. In a trading update for the 16 weeks to 15 April 2023, the group said that in the UK, year-to-date sales were in line with the prior year, and were ahead on an underlying basis after taking into account an additional day of trading and the timing of a price increase last year. In 2023, UK depot revenue was 0.2 per cent lower than the prior year and 1.6 per cent less on a same depot basis, which the company noted reflected very strong prior year revenue comparatives. It added that after adjusting for an additional sales day in 2022, UK revenue was ahead by 1.4 per cent and level on a same depot basis. Howdens said that in 2022, UK results for the 16 weeks to 16 April 2022 were "exceptionally high" with record levels of demand in a buoyant kitchen and joinery market. The group noted that UK sales are expected to return to more normal phasing in 2023 and Howdens is on track with its outlook for the year. During 2023, the business plans to open approximately 30 new depots in the UK, around 10 in France and another five in the Republic of Ireland, and will be refurbishing a further 80 older UK depots. Howdens also said it is making good progress with its new product introductions for 2023 and ongoing investment in its manufacturing and supply chain capabilities continues. Year-to-date, it added that it has also completed £25m of the previously announced £50m share buy back programme. Andrew Livingston, chief executive at Howden Joinery Group, said: "The group has continued to perform well in the first four periods of 2023 against record prior year comparatives. "We have good momentum in the business and our customers remain busy." Looking ahead, he added: "We are on track with our plans for 2023 while mindful of the second half weighting of our sales, which includes our all-important peak trading period. Our kitchen and joinery markets are large and attractive, and we are continuing to invest in our future growth through our successful strategic initiatives." Howdens sells kitchens and joinery products to trade customers, primarily small local builders, through its network of depots. About one-third of the products it sells are manufactured in house at its factories in Runcorn, Cheshire, and Howden, East Yorkshire.