Sales jump at Wickes after margin squeeze
Wickes has seen its profit margins recover after 'intense' promotional offers in the kitchen and bathroom sectors.
Price cuts helped the chain, and sister brand Toolstation, lift like for like sales by 6.8% in the first quarter of the year but at the cost of lower margins.
The second quarter also saw a 6.8% increase and 'improvements in the promotional programme, ranging and pricing also helped to recover margins in the second quarter.'
Total sales in the six months to 30 June were 8.8% higher at £638m with divisional profits up 22% to £36m.
Wickes saw strong growth in online sales which generated higher delivery costs. The chain says work is ongoing to improve the efficiency of online delivery, which as been criticised by some shoppers.