(Alliance News) - James Latham PLC on Wednesday said life-for-like revenue is up so far in its financial year, with improved volumes and better margins.
For the first four months of the timber products firm's financial year, spanning April to July, like-for-like revenue rose 4.8% from the year before.
The company said volumes "improved slightly" in the four months and it experienced an increase in value added products, offsetting "the loss of some lower value commodity panel products".
Margins have improved from the second half of its 2019 year, which ended in March. Cost prices of commodity products have been falling but the weakness of sterling against the euro and the dollar has helped offset this.
James Latham said its cash reserves are still strong and it has low levels of bad debt. It will publish its interim results for the six months ending September 30 in late November.
"Most of our customers remain positive, however we are mindful of weakening economic indicators and the further impact that Brexit may have on the economy, but we are confident that we remain in a strong position to deal with these challenges," James Latham said.
"It is very encouraging to see increasing specification of our products from architects and designers and we expect this to continue to provide growth opportunities," the company added.
Shares in James Latham were up 0.6% at 830.00 pence on Wednesday afternoon in London.
Latham Timber (LTHM)
Latham(j)8%prf (LTHP)