Home improvement chain Wickes has reported growth of lower-priced flatpack kitchens, despite subdued sales of bigger ticket items and Design & Install dip.
In its latest trading results, Wickes stated the start of 2024 had seen a continuation of trends from the fourth quarter last year and its full year results, with volume growth in Retail but a decline in Design & Installation.
Overall, group like-for-like sales for the first 16 weeks were down by 4.2% compared to the same period last year, with both reporting periods including Easter trading.
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Wickes states like-for-like sales growth of 0.6% in retail in the period were driven by volume.
TradePro sales were up 12% in the period, which Wickes said reflected healthy order books for local trade professionals and continued growth in the customer base, which grew by a further 57,000 members.
However, DIY sales showed “moderate” decline overall, with customers focusing on smaller projects.
Design & Installation delivered sales declined by 18.2%, which Wickes said reflected a strong performance in the comparative period for the prior year, when the company benefitted from an elevated order book.
Ordered sales for the company in 2024 have been in single-digit year-on-year decline, with Wickes reporting “strong” conversion rates had partially offset a double digit decline in new leads.
The company reported it would deliver cost savings in Design & Installation to help offset the lower sales volumes.
However its lower-priced Wickes Lifestyle Kitchens range saw sales growth of 25% versus the same period last year.
Wickes has opened its first store in 2024 in Long Eaton and completed two refits of its Ashford and Burgess Hill store.
Stating the trading environment remained uncertain, given its start to the year in Retail and focus on costs, the overall outlook for adjusted profit before tax for 2024 remains unchanged.
Chief Executive of Wickes David Wood, Chief commented: “In the first few weeks of 2024 we have been encouraged that DIYers and local trade professionals continue to turn to Wickes as a brand they trust for great value and service and as a result we have once again grown market share.
“Although the market for larger ticket items remains subdued, we have seen strong sales growth in our Wickes Lifestyle Kitchens, which match customer demand for quality with great value.
“While the external environment remains uncertain, our overall profit expectations for the full year remain unchanged.
“Looking ahead, we continue to invest for future growth with our programme of store refits, new store openings and investment in both technology and Solar Fast, building an even stronger Wickes for the future.”