LONDON (ShareCast) - (Sharecast News) - Home improvement retailer Wickes reported a jump in full-year profit and revenue on Friday as it hailed a strong performance from digital channels.
In the 53 weeks to 1 January 2022, adjusted pre-tax profit rose to £85m from £49.5m the year before, while reported pre-tax profit came in at £65.4m versus £28.9m. Revenue grew 14% to £1.53bn, driven by further market share gains in the core business, supported by an enhanced service proposition and a strong digital performance.

Wickes said like-for-like sales were up 13% on 2020 and 18.6% on 2019.

Wickes - which was demerged from Travis Perkins last year - said two thirds of its sales were driven from digital channels, as it retained customers acquired during the pandemic and grew the base further.

The company said the appetite for home improvement "played out strongly" in 2021 as customers sought to complete projects either through DIY, employing a local tradesman or seeking concept to completion services on projects such as a kitchen or bathroom installation.

"We believe the market has all the right attributes for long-term sustainable growth, underpinned by the UK's ageing housing stock, rising property prices and transactions, a strong jobs market and the increased focus on climate change and the importance of retrofitting homes," it said.

It also said the upcoming surge in energy prices and more general cost-of-living crisis could act as a catalyst for homeowners to prioritise improving their home insulation and to examine alternative forms of heating.

Chief executive David Wood said: "Looking ahead, we expect to continue outperforming the market and are well-placed to capitalise on the ongoing requirement for home improvement - namely an ageing housing stock, favourable consumer trends, and the increased focus on insulating and retrofitting homes.

"While we recognise the pressure that consumers will be facing in 2022, we have the right model, a strong pipeline and order book, and remain confident of making further progress in the current year driven by a material increase in DIFM revenues."

At 0815 GMT, the shares were up 8% at 186.40p.

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