Wolseley share price: Group posts Q3 results

Wolseley (LON:WOS) has this morning released its quarterly results.

**Highlights from Wolseley’s statement:**
During the quarter the Group generated revenue in the ongoing businesses of £3,301 million, 12.4% ahead of last year at constant exchange rates and 7.5% ahead on a like-for-like basis. The impact of inflation on Group revenue was negligible. The gross margin of the ongoing businesses was ahead of last year. Operating costs, which increased by 12% at constant exchange rates, included 3% from acquisitions and the continuing planned investment in developing a more efficient business model. Exchange rate movements were favourable in the quarter and increased trading profit by £11 million. There was one additional trading day compared to the same quarter last year which contributed £6 million of trading profit. Trading profit for the ongoing businesses of £195 million was 20.3% higher than last year at constant exchange rates. The trading margin improved by 60 basis points to 5.9% for the ongoing businesses. Businesses closed, disposed of or classified as held for sale incurred a loss of £1 million (2014: nil).
Commenting on the results, Ian Meakins, Chief Executive, said:
“Like-for-like revenue growth continued to be good and we outperformed the market in all key regions. Gross margins were ahead as we continued to focus on improving the mix of customers, suppliers and products. Operating expenses were well controlled and we generated decent flow through to trading profit. Strong operating results were also boosted by favourable foreign exchange rate movements. Cash conversion was in line with our expectations and we are continuing to invest in developing a more efficient business model to deliver better customer service and gain profitable market share.”
As of 07:04 BST, Tuesday, 02 June, Wolseley plc share price is 4,019.00p.

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