Grafton Group Reports Strong First-Half Performance Amid Regional Growth and Acquisitions
Grafton Group reported a strong first-half performance with revenue rising by 6.7% to £1.34 billion, adjusted operating profit increasing by 8.2% to £98.5 million, and adjusted earnings per share growing by 10.8% to 39.4 pence. The company raised its interim dividend to 11 pence per share and maintained full-year profit guidance of between £190 million and £200 million. Acquisitions in Ireland (Cygnum) and Spain (Mercaluz), along with growth in the Iberia region, helped offset a decline in Great Britain. Revenue from Great Britain fell by 5.1%, while adjusted operating profit dropped nearly 30% due to weak construction and home-improvement demand. Grafton generated £70.7 million in free cash flow during the period and ended June with lease-adjusted net debt below one times EBITDA, allowing it to return £75.5 million to shareholders through dividends and buybacks.
Topics: acquisitions dividend_announcement financial_performance regional_growth