Travis Perkins, the Northants headquartered builders’ merchant, says it is looking to sell its plumbing and heating division and is targeting further annualised cost savings of £20-30m which will be delivered over the next 18 months.
John Carter, CEO, comments: “We have developed a clear plan to focus on delivering best-in-class service to our trade customers, and to simplify the Group to reduce complexity, speed up decision making and reduce costs. Our trade businesses hold strong positions in attractive markets, and these initiatives will enable us to concentrate our management time and capital in the highest returning areas.
“Our strong balance sheet and free cash flow generation, driven by growing earnings and lower capital expenditure, will underpin our commitment to drive shareholder value and a progressive dividend.”
“Today, the Travis Perkins plc management team is hosting a capital markets update in London. There will be no new disclosures on current trading conditions with overall performance consistent with expectations at the time of the third quarter trading update in October. The event will cover the Group’s immediate priorities and ambitions for the future.