Lords Group posts record first-half revenues

In the six months to 30 June, adjusted pre-tax profit rose to £8.5m from £6.2m in the same period a year earlier, on record revenues of £214.2m, up 19.7%.

The company proposed an interim dividend of 0.67p a share, up from 0.63p.

Lords said its merchanting division has continued to perform strongly, with record revenues of £105.0m, up from £61.1m a year earlier. This was driven by the division's "continued focus on 'local leader' reputation via empowered, highly engaged management teams across its 30 locations," it said.

The plumbing and heating division put in a "resilient" performance, it said, with increased profitability and margin, and customer demand remaining strong during the period.

The group said trading continues in line with market expectations for FY22, being revenue of £435.0m, adjusted EBITDA of £26.0m and adjusted pre-tax profit of £16.0m.

"Lords continues to see positive customer demand across the group's product offering and the board considers that the group's organic growth strategy of product range extension and new locations will continue to secure new customers alongside a greater share of existing customer wallet," it said.

"The board remains vigilant of the potential for broader macro-economic volatility, however is confident that the group's business plan, adaptability and high levels of customer service leave the group well positioned for continued outperformance."