SIG FY operating profits seen at upper end of guidance

SIG stated underlying operating profits were expected to be on the higher end of its £50.0m to £55.0m guidance, while full-year like-for-like sales were down 2% on the prior year, with revenues of £2.76bn.

The London-listed group said its FY23 results reflected "continued strong execution", against a "challenging market backdrop", and noted that restructuring and productivity initiatives completed in the second half would deliver approximately £10.0m of annualised cost savings, the majority of which will benefit FY24.

Chief executive Gavin Slark said: "Despite challenging market conditions across the European building and construction sector, the group has delivered a robust trading performance, through a strong focus on our customers and the great efforts of all our people.

"Whilst we expect continued softness in market conditions in 2024, we are confident in our ability to manage through this current phase of the cycle and to continue to strengthen our operations, ready to take advantage of the significant long-term opportunities for the group as markets recover."

As of 0850 GMT, SIG shares were up 3.48% at 33.27p.

Reporting by Iain Gilbert at Sharecast.com