Revenue at Grafton up 10% despite slow start to 2025
Grafton
said revenue was higher in the first half of 2025, despite a slow start to the year.
Overall revenue was £1.25 billion for the group, up 10 per cent from last year's £1.14 billion. That included the impact of acquisitions Salvador Escoda in Spain and HSS Hire Ireland, Grafton said.
Average daily like-for-like revenue was 2.4 per cent higher, with trading activity gaining momentum mid-period. However, it eased from mid-May and into June as global uncertainty likely dented consumer confidence and hit spending.
Its Irish distribution business recorded average daily like-for-like spending that was 3.7 per cent higher than last year with trading activity at its Chadwicks business continuing to recover from the impact of Storm Éowyn in January.
READ MORE
Although the outlook for growth in the construction sector remains positive, the company warned about 'persistent external challenges', citing planning delays, utility connection issues and labour shortages as a drag on the sector and expansion of supply.
[
Grafton to acquire HSS Hire Ireland for €31.6m
Opens in new window
]
The retail business was also strong, with its Woodie's DIY chain getting off to a good start. Average daily like-for-like revenue rose 7.6 per cent, supported by growth in both the number of transactions and average transaction values.
In the UK, average daily distribution revenue rose 0.2 per cent, with growth supported by price inflation and demand for repairs, maintenance and improvements remaining soft.
The Netherlands saw a rise of 2.8 per cent, supported by growth from sales to national key accounts, while Finland saw a decline of 4.2 per cent. Spain's average daily revenue was up almost 7 per cent.
Grafton's manufacturing business saw average daily revenue up 5.2 per cent, although momentum at its CPI EuroMix business slowed in the second quarter.
Looking ahead, the company said it did not expect a significant increase in volumes this year, with markets remaining challenging. The medium-term outlook for Grafton remains positive, it said, with housing shortages across all its markets and an anticipated recovery in RMI demand.
'We are pleased that our trading performance was in line with our expectations for the first half,' chief executive Eric Born said.
'Though we remain cautious about the timing of a broader recovery, particularly in the UK and Finland where markets remain challenging, we remain very well positioned to capitalise on our market leading positions as the cycle turns.
'We continue to actively evaluate growth opportunities in all our markets and to strengthen our position both organically and, where appropriate, by acquisition using the strength of our free cash flow conversion and balance sheet.'
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Irish Times
22 minutes ago
- Irish Times
McKillen jnr sues receivers over taking possession of three properties
Paddy McKillen junior is in a dispute with receivers who took possession of three valuable Dublin office properties, allegedly due to millions of euro in rent arrears on them. Perfect Stripe Ltd, trading as Grafter, is suing Ken Fennell and Brendan O'Reilly, of Interpath Advisory, who were appointed joint receivers over three companies which rented the properties at Stephen's Green, Leeson Street and Ely Place from Perfect Stripe. The three companies, Wonderbay Ltd, Crossville Properties Ltd and Discovery Dawn Ltd (all in receivership) were McKillen group-related firms. Perfect Stripe claims that on the morning of June 23rd, agents of the receivers broke into the properties having unlawfully purported to have forfeit the leases. The locks were changed and Perfect Stripe and its agents were prevented from gaining access. The claim of breaking in is denied. READ MORE The purchase of the buildings was funded largely through loans from RELM Loan Opportunities DAC, which appointed the receivers after calling in the loans. Perfect Stripe says the forfeiture happened despite discussions with the defendants about rent adjustments. It believed the parties were negotiating in good faith and that no steps would be taken towards any enforcement until those negotiations concluded. The defendants claimed the sums due on each of the properties in rent arrears at the time was some €2.7 million for Stephen's Green, around €321,000 for Ely Place and some €530,000 for Leeson Street. Perfect Stripe, in its statement of claim, says the defendants have unlawfully forfeited the properties 'under the guise of seeking inflated amounts in excess of the interest due' under the loan agreements. It also says they have 'misappropriated the plaintiff's business in order to achieve a higher sales price for the properties'. On Monday, Mr Fennell and Mr O'Reilly, in their capacity as receivers of the three defendant companies, applied to have the dispute admitted to the fast track Commercial Court. James Doherty SC, for the defendants. said the total debt now due in arrears was in excess of €4.1 million and the leases were forfeited and possession taken some five weeks ago. Counsel said there was mediation for a short time which was unsuccessful. The claim of misappropriation by the defendants of the business to themselves is 'wholly without foundation', he said. Counsel also disputed a claim by Marcus Dowling SC, for Perfect Stripe, that from his client's perspective, what had happened was the receivers agents breaking into the premises in the middle of the night. Mr Dowling said his side was neutral on the application to admit the case to the commercial list. Mr Justice Mark Sanfey said it was clearly a matter suitable for entry to the Commercial Court. He approved agreed directions and adjourned the matter to later this year.
Irish Times
2 hours ago
- Irish Times
Ballsbridge Post Office site tipped for bar/restaurant with retail and gallery space
The hospitality group which operates Hogan's pub on Dublin's South Great George's Street has lodged plans for a new pub restaurant at the former Ballsbridge Post Office in Dublin 4. The group, led by Declan O'Regan, has lodged plans through Telfer Ltd with Dublin City Council to change the use of the two-storey former post office on Shelbourne Rd to a licensed bar restaurant with retail and gallery space. The application comes as revenues at the pub group jumped by €1.3 million last year. The most recent accounts for Telfer Ltd show that it recorded pretax profits of €1.25 million as revenues increased by 11 per cent from €11.32 million to €12.6 million in the 12 months to the end of May 2024. READ MORE A planning conservation report drawn up by Crimmins Architects and lodged with the new application states that the objective of the proposed works 'is to stop the deterioration of the building by sensitive repair and adaptation and to give it a use that can support its survival both physically and economically'. Built in 1889, Ballsbridge Post Office is on the Record of Protected Structures held by Dublin City Council for its architectural social quality, which contributes to the character and heritage of the city. The report says existing signage 'will remain an important aspect of the proposal. Any original memorabilia relating to An Post will be retained and featured as an opportunity to nod to the original use'. Crimmins says its clients 'are keen to maintain the character of the space with the fit out. This will have an overall positive impact'. 'All efforts will be taken to ensure that necessary new work on the historic structures looks appropriate and is in keeping with the fabric, materials and style of the original work,' its report says. It adds that the proposed works will 'have minimal detrimental impact on the character of the protected structure'. 'The proposal to change the use of the building to a licensed bar restaurant with retail and gallery along with the proposed repairs and removal of late 20th century partitions will have a hugely positive impact,' the Crimmins report adds. In Telfer's 2024 accounts, directors said they were satisfied with the results after the company 'enjoyed another profitable year'. Numbers employed increased from 129 to 133 as staff costs rose from €3.7 million to €4.6 million. A connected Declan O'Regan pub firm, The Secret Bar Ltd, recorded pretax profits of €175,746 on revenues of €3.96 million in the 12 months to the end of May last.
Irish Times
3 hours ago
- Irish Times
Housing Agency raised salary for incoming CEO by over €23,000
A pay increase of more than €23,000 was approved for the new chief executive of the Housing Agency after negotiations between two government departments. The post was meant to be filled with a starting package of €161,593 a year, the first point on the Assistant Secretary salary scale of the Civil Service. However, the Housing Agency said their preferred candidate had been paid a higher salary than that in his previous role in the National Treasury Management Agency (NTMA). They argued that their new CEO, Martin Whelan, should start at €184,852 a year, the fourth and final point on the agreed salary scale. The Department of Public Expenditure said that, based on his 'substantial knowledge and experience' and his previous salary, they would have 'no objection' to the higher package. Internal records detail how the Housing Agency was left without a CEO when their previous boss, Bob Jordan, resigned in September last year after a three month notice period. An email from the Department of Housing said: 'Given the short lead in time to Mr Jordan's resignation, there is an urgency in commencing the recruitment process. 'It may be a case that an interim CEO will be required for a number of months as it is imperative that the work and consequential outputs of the Housing Agency is uninterrupted while the substantive CEO process is ongoing.' The Department of Public Expenditure said in response that it had no objection to a person being appointed on an acting basis if the need arose. Department officials said at the time that the full-time appointment should be made on the Assistant Secretary level which begins at €161,593 per year and with no perks permitted under Government policy. In November, the Housing Agency said they had found a candidate for the role but submitted a business case to seek a higher starting pay rate. It said that while Mr Whelan was 'enthusiastic about the role', he had 'requested a review of the remuneration package'. 'To address this and to reflect the level of experience and expertise Mr Whelan will bring, the agency proposes appointing him at the top of the Assistant Secretary scale, €186,701.' It said a committee led by the chairperson of the Housing Agency fully supported it and believed it was a 'prudent and necessary investment'. As part of the business case, the Department of Housing said they agreed that Mr Whelan should start on the higher rate of pay. There were further discussions with details sought on how many people had applied and how many were considered suitable for the role. In mid-November, the Department of Housing said it was hoping for a final decision as the matter was now 'very urgent and impacting the business of the agency'. On November 29, an email from the Department of Public Expenditure said they had closely considered the case and the candidate's previous experience. 'Taking into account his current salary in the NTMA, [we] would have no objection to the Housing Agency negotiating a salary up to the fourth point of the Assistant Secretary scale,' said the message.
