(Alliance News) - James Halstead PLC on Wednesday said trading in the second half of its financial year has been "encouraging", with the company expecting to report record turnover and annual pretax profit.
James Halstead is a commercial flooring manufacturer and international distributor.
The Manchester-based firm said trading in the second half of year has been encouraging, and it expects to report both turnover and pretax profit at record levels for the year to June 30 despite ongoing uncertainties in the global marketplace.
In the UK, the availability of basic raw materials has continued to threaten smooth production. Even more disruptive has been the effect of employee shortages due to absenteeism mostly a result of the self-isolation of employees exposed to coronavirus, James Halstead said.
The entire market has faced production issues and several of James Halstead's competitors have had to suspend production due to material shortages, it noted. To date, the firm has not curtailed output, helping it increase its market share.
James Halstead said it saw a big increase in online retailing of flooring. This contributed to its expansion in the domestic UK flooring market, where demand increased not just because of rising consumer spending on the home but also with the move to home and garden offices and home gyms.
James Halstead saw notable uplifts in healthcare and the provision of vaccine supply, delivering flooring to covid-care and vaccination facilities across the globe including Latin America, South Africa as well as China, Mexico and Italy.
However, the closure of the Suez canal and disruptions in China, particularly the port of Yantain which handles vast amounts of international freight has resulted in delays in the supply of goods and ongoing adverse shipping costs.
The company will announce its full results for the year to June 30 around the end of September.
Shares in James Halstead were up 0.3% to 561.48 pence each in London on Wednesday morning.
By Amrit Sahota; newsroom@alliancenews.com
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James Halstead (JHD)