Safestyle expects no short-term effects from Brexit

PVCu replacement windows and doors manufacturer Safestyle does not expect any short-term “detrimental effect” from Brexit with the company adding it was trading in line with enhanced expectations for the year.

In a trading update for the six months ended 30 June, the company reported that order intake in the first half of the year was up 19.7% on the prior year. This is expected to deliver half year sales revenue increase of 12.5% to £83.5m.

"During the first half of the year our order book increased significantly and we will benefit from a controlled release of some of this increase in the second half” the company said.

Safestore said that the long-term effects of the European Union referendum vote on 23 June were unknown but so far there had been no short-term effect on the company.

Chief executive Steve Birmingham said: "We are very pleased with our performance in the first half of this year. Whilst the longer term impact of the referendum decision on the broader economy remains to be seen, there has been no short-term detrimental effect on our order intake.”

The AIM listed company also reported an increase in net cash to £23.6m from £14.9m last year.

Fenestration self-assessment scheme (FENSA), the industry standard from the trade body, glass and glazing federation (GGF), said the company had increased its market share year-on-year to 10% from 9.5%.

Birmingham added: “The company has a proven successful model, with a growth strategy underpinned by a combination of our expanded product range, attractive promotional finance package, continued geographic expansion and financial strength.

“As a result, the board remains confident in our ability to continue to outperform the market and achieve full year results in line with management expectations."

Shares in Safestyle were up 4.34% to 245.19p at 1524 BST.