Building supplies company, Wolseley, which operates the Brooks, Tubs and Tiles and Heat Merchants chains in Ireland, said today that its Irish business made a €23 million loss in the 11 months to the end of June.
In a trading statement issued this morning Wolseley announced plans to sell its operations in Belgium, Slovakia and the Czech Republic after a review of its central and eastern European businesses.
Profit before tax, one-time items, amortisation and the impairment of acquired intangibles from continuing operations in the 11 months through June slumped 60 per cent to £233 million, Wolseley said.
Overall, the company reduced its headcount by 9,386 during the period to help cut costs by £392 million a year.
Wolseley UK and Ireland recorded a 1 per cent increase in revenue to £3,203 million due to acquisitions.
Organic revenue growth of 1.8 per cent was achieved in the UK, excluding Ireland, with market share increased.
Trading profit for the UK and Ireland divisions was 16.6 per cent lower at £176 million excluding £12 million of exceptional restructuring costs, principally relating to 13 branch closures and 150 redundancies, in Ireland.
The trading margin fell from 6.7 per cent to 5.5 per cent, primarily due to lower profitability in Ireland.
Additional reporting: Bloomberg
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