Likewise saw its stock market value slide by 12.5% after warning that profits will not match City expectations despite a leap in sales, including a record October.
Wednesday’s fall came after it warned that ‘due to increased costs and an imbalance in the revenue increases across the group’s various activities, underlying profit before tax will fall short of current market forecasts, however the group will produce profit significantly ahead of previous years, notwithstanding absorbing the additional National Insurance costs. The group is still well on course to achieve its medium term objectives including growth in both sales revenue and profitability in 2026.’
Sales for the second half of the year are up 7.4%, with revenue in the year to date 8.9% higher. Likewise Floors branded products have seen sales climb by 13.3% in the year to the end of October.
‘This has all been achieved in what would still be considered challenging markets, compounded by the hottest summer on record and demonstrates consistent increases in share over the last five years,’ it says.
‘The group is accelerating its sales and marketing activities to gain increasing share from independent retailers and flooring contractors. This is supported by greater capacity and enhancement of the logistics networks, providing increased confidence in achieving and surpassing our previous goals.’
‘We continue to develop our businesses at an impressive rate thanks to the very important commitment from our management and staff with the fantastic support of our suppliers and customers. The board thanks all involved for their ongoing contribution. We are absolutely focussed on improving the performance of the group to allow meaningful investment for the long term benefit of all stakeholders,’ says Tony Brewer, Likewise chief executive.
Brewer is among the distributor’s management and directors who have invested their dividend payments to increase their stakes in the group.
Brewer now owns 10.96% of Likewise shares; Andrew Simpson, Likewise non-executive director 4.32% and Adrian Laffey, Likewise mainstream residential director 2.98%.
