Wickes Group, the renowned home-improvement retailer, has announced that it anticipates its adjusted profit for the previous year to have exceeded market expectations. The company projects that its like-for-like sales remained relatively stable, with a slight decrease of 0.3% in 2023.
Although Wickes experienced a decline in do-it-for-me (DIFM) sales, reporting a fourth-quarter decrease of 14%, this can be attributed to the current subdued consumer environment for larger projects and delivery delays. However, the company performed well in its core like-for-like sales, which witnessed a positive volume growth of 1.2% in the fourth quarter.
Looking ahead, Wickes predicts that its adjusted pretax profit for 2023 will fall within the range of market forecasts, amounting to an impressive £44.9 million to £48.3 million ($57.1 million-$61.4 million). This outlook demonstrates a notable increase when compared to the company’s profit of £75.4 million in 2022.
Furthermore, Wickes assures stakeholders that its core business has remained consistent with the previous year during the initial weeks of 2024. While DIFM sales are expected to decrease, this is primarily due to the normalization of the order book following the pandemic and a reduction in new leads within the market.
Chief Executive David Wood expresses confidence in Wickes’ growth potential, emphasizing their continued investment in new stores, refurbishments, and digital capabilities throughout 2023. This strategic approach positions Wickes favorably to outperform the market in 2024 and beyond.
