Luxury interior furnishings group Walker Greenbank reported an increase in half year sales after an upturn in the US interior furnishings industry although sales in Western Europe continued to be hampered by economic problems.
The group, which designs and manufactures fabrics, wallpapers and furnishings and whose brands include Sanderson, Morris & Co and its new contemporary brand Harlequin & Scion, said brand sales in the US jumped 21.5% in the half year to July 31 2012 and 18% at constant currency. Brand sales in the UK, its largest market, were up 5.6%.
Sales were up 13% in the Far East and rose 9% in Eastern Europe. However sales in the Eurozone declined 11.6% or 6% in constant currency as difficult market conditions persisted.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Chairman Terry Stannard commented: "We are pleased with our underlying performance in the first half. We enter the key autumn selling period with some excellent products, including those from our recently launched Scion and Sanderson Home offerings and also those from new product categories such as Harlequin trimmings."
Licensing income rose 19% to £0.80m, with strong growth in Japan.
Group adjusted pre-tax profit rose to £2.7m in the six-month period from £2.43m the year before. Unadjusted pre-tax profit fell to £1.94m from £2.03m a year earlier. Sales rose to £38.3m from £37.4m after robust growth in the US, the Far East and Eastern Europe.
Commenting on current and future trading, Walker Greenback said brand sales in the current half were subdued in August but grew 2.4% in September compared with the previous year.
"Our manufacturing sites continued to perform well throughout. We remain confident of achieving market expectations for the full year," it said in a company statement.
The group has increased the interim dividend 15% to 0.23p per share.
CJ
-
Buying a property is cheaper than renting again – how much could you save?News Zoopla research shows it is now 8% cheaper to buy than rent. We reveal the places where you can save more by getting on the property ladder.
-
Is now a good time to invest in India?Should you invest in India? Its market has stood out of the emerging market pack, helped by a growing pool of domestic investors.
