Nwf Regulatory News (NWF)

27 Apr 2005 14:01

NWF Group PLC27 April 2005 For immediate release: 27 April 2005 NWF Group plc Trading Update NWF Group plc ("NWF"), the diversified sales and distribution business, is todayproviding the market with a trading update for the year ended 31 May 2005. As reported in the Interim Statement announced on 31 January 2005, the Group hasundertaken an unprecedented level of investment across most of the businesses tolay the foundations for further profitable development. Earlier in the year, the Feeds Division acquired JGW Thomas & Son Limited, ananimal feed manufacturer based in Devon, the Garden Centres Division acquiredVictoria Garden Centre in Yorkshire and disposed of its six country stores, andin the Distribution business a new warehouse has been brought into use atDeeside, Chester and planning permission has been obtained for buildingwarehouses at Wardle in Cheshire. Current trading Distribution has suffered in the short term due to high fuel costs and anincrease in labour costs, particularly associated with staffing our start-upDeeside operation. Feeds is currently experiencing higher volumes and profitsthan the comparative period last year, but results will still be slightly lowerthan expected. Our Garden Centres business is also delivering higher sales thanlast year, but a late start to Spring trading will impact its year endprofitability. Finally our Fuels business is performing well having coped withextremely high and volatile product prices. While the Board remains confident of the outlook for 2005/2006 as a result ofthe significant investment undertaken by the Group in the current year, thefactors outlined above will impact upon the Group's trading performance in theyear ending 31 May 2005. Preliminary Results The Company will update the market further on current trading in August when itannounces preliminary results for the year ended 31 May 2005. - ends - For further information please visit www.nwf.co.uk or contact: Graham Scott, Chief Executive John West/Claire MellyNWF Group plc Tavistock CommunicationsTel: 01829 260 260 Tel: 020 7920 3150 This information is provided by RNS The company news service from the London Stock Exchange