James Halstead declares record dividend but warns of higher prices

(Alliance News) - James Halstead PLC on Tuesday raised its dividend despite sales falling back in difficult markets.

The Manchester, England-based commercial flooring manufacturer and distributor said pretax profit fell 13% to GBP24.7 million in the six months to December from GBP28.5 million the year prior.

Basic earnings per share ebbed 12% to 4.4 pence from 5.0p.

Revenue declined 2.2% to GBP127.2 million from GBP130.1 million.

The company disclosed strong cash inflow from operations of GBP36.9 million, up from GBP25.3 million a year ago.

The dividend was lifted 3.6% to a record 2.85p per share from 2.75p.

"I am pleased to report a robust balance sheet, strong cash inflow and a record interim dividend achieved against a backdrop of challenging markets. Our very long record of dividend increases continues and the markets in which we operate continue to generate demand which in turn gives us confidence in the medium term," said Executive Chair Mark Halstead.

The company said UK sales have picked up at the start of 2026 but issues in the Middle East are causing headwinds in respect of raw material, energy and transportation costs.

"Inevitably this will have inflationary effects," the firm added.

Shares in James Halstead were up 4.8% to 124.67p in London on Tuesday.

By Jeremy Cutler, Alliance News reporter

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