Wickes sounds note of caution with softening sales and worrying outlook
It said “customers are reacting to the uncertain macroeconomic backdrop”, and as a result, the firm had adjusted its expected profit before tax to be in the range of £72-82m for the second half.
Ongoing supply chain challenges impacted upon its FIFM sales, with Wickes saying it had experienced a slowing of new orders in recent weeks, while customers are hesitant to commit to new big orders. Cancellations remain low.
“It is encouraging to see continued outperformance in our Core market share despite recent signs of softening in the DIY market”, said David Wood, CEO of Wickes.
“Our investment for growth progressed in the period with five store refits completed in the first half which continue to drive strong returns.
“We remain watchful of the macroeconomic backdrop and are managing the business appropriately to navigate these external pressures”.