7 Feb 2017 07:00
For immediate release | 7 February 2017 |
WALKER GREENBANK PLC
("Walker Greenbank" or the "Company")
Full Year Trading Update
Walker Greenbank PLC (AIM: WGB), the luxury interior furnishings group, announces a trading update for the year ended 31 January 2017.
The results for the year are expected to be in line with the Board's expectations and will include a first-time contribution from Clarke & Clarke, which was acquired by the Company at the end of October 2016. The Board is pleased with progress at Clarke & Clarke, which continues to perform in line with Board expectations.
In addition to the profit contribution from Clarke & Clarke, profit before tax will include received and anticipated insurance payments relating to the flood in December 2015 at Standfast & Barracks, the Company's fabric-printing business. During the year, the Company received a total of £15.3 million in insurance payments relating to the flood for damage to assets and loss of profits.
Group sales for the year, which reflect the impact of the flood, are expected to be £92.4 million (2016: £87.8 million), including sales of £7.3 million from the first 18 weeks of ownership of Clarke & Clarke.
Brand sales excluding Clarke & Clarke were up 1.5% in reportable currency (down 2.2% in constant currency) compared with the previous year and were adversely impacted by the flood. In the UK, brand sales were down 4.1%. US brand sales were up 8.3% in reportable currency (down 5.2% in constant currency); Western Europe brand sales were up 22.4% in reportable currency (up 7.9% in constant currency); and Rest of the World brand sales were up 3.2% in reportable currency (up 0.3% in constant currency).
The Company's manufacturing performance was affected by the flood for much of the year although the impact was mitigated by the insurance payments outlined above. As previously announced, Standfast & Barracks is back in full production and the Company's Milton Keynes warehouse is fully stocked with the Company's printed textiles. The construction of flood defences to protect the Standfast & Barracks factory was recently completed.
Walker Greenbank intends to announce its results for the year ended 31 January 2017 on 26 April 2017.
For further information:
Walker Greenbank PLC | +44 (0) 844 543 4668 |
John Sach, Chief Executive Mike Gant, Chief Financial Officer | |
Caroline Geary, Company Secretary | |
Investec Bank plc (Nominated Adviser and Broker) | +44 (0) 20 7597 5970 |
Garry Levin / David Anderson / Alex Wright - Corporate Finance | |
Henry Reast - Corporate Broking | |
Buchanan | +44 (0) 20 7466 5000 |
Mark Court / Sophie Cowles / Catriona Flint |
Notes for editors:
About Walker Greenbank
Walker Greenbank PLC is a luxury interior furnishings company that designs, manufactures and markets wallpapers, fabrics and paints. In addition, the Company derives significant licensing income from the use of its designs on a wide range of interior products such as bed linen, rugs and tableware.
Walker Greenbank's brands include Sanderson, Morris & Co, Harlequin, Zoffany, Scion and Anthology. The brand portfolio was recently extended with the acquisition in October 2016 of the Clarke & Clarke and Studio G brands.
The Company has a strong UK manufacturing base comprising a wallpaper factory in Loughborough and a fabric printing factory in Lancaster. Both factories manufacture for the Company and for other wallpaper and fabric brands.
Walker Greenbank employs more than 600 people and its products are sold in more than 85 countries worldwide. It has showrooms in London, New York, Paris, Amsterdam and Dubai along with partnership showrooms in Moscow and in Shenzhen, China.
Walker Greenbank trades on the AIM market of the London Stock Exchange under the ticker symbol WGB.
For further information please visit: www.walkergreenbank.com/