Builders merchant reports pre-tax profit of 拢110.4m on a turnover of 拢1412m

Builders merchant Travis Perkins has announced slim profits in the first half of 2006 following poor trading conditions since it bought retail arm Wickes last year.

In its interim results the company announced pre-tax profit of 拢110.4m, up 0.4% from the same time last year.

Turnover was up 9% to 拢1412m, from 拢1291m in the same period in 2005.

The firm said the results were due to poor trading conditions in 2005 and slow recovery in the retail market.

However it said the figures were in line with their expectations and showed "good progress" in challenging market conditions.

The firm said it was well placed to take advantage of the anticipated market growth, especially since it opened Banchmarx, a supplier for specialist trade joiners in Croydon in July. A further six branches are expected to be open by the end of the year.

Chief executive Geoff Cooper predicted results for the rest of the year would strengthen.

鈥榃e maintain our view that there will be a gradual recovery in market activity in the second half and we are well positioned to benefit from this,鈥� he said.