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+10% (2016: £204.8m)

Gross Margin

-1% (2016: 52.0%)

Adjusted EBITDA(1)

+1% (2016: £31.3m)

Adjusted Profit before Tax(1)

+1% (2016: £24.3m)

Adjusted EPS(1)

+2% (2016: 20.0p)

Total Dividends (per share)

+6% (2016: 8.5p)

  • Reported profit before tax £23.7m (2016: £23.8m), -0.7%
  • Cash generated from operations £27.9m (2016: £31.8m), -13%
  • Net debt reduced from £14.5m to £20.3m
  • Proposed final dividend for 2016 of 6.0p per share (2016: 5.7p per share)

(1) Adjusted measures are before non-recurring costs and the related tax effect


  • Private new build up more than 15% in 2017
    • Dedicated specification and business development teams, comprehensive product range and successful fabricator forums
  • More than 20 new medium-to-large Profiles accounts won in 2017
    • Sales started to come through in Q4, with more new accounts already contracted for 2018
  • Increased sales of doors / windows through branches, Skypod and Equinox to £22.2 million (up 18%)
    • Implementing configuration software across the branch network, with common pricing and specifications
  • Warehouse operations back in-house from February 2017 to enhance customer service
    • Improved on-time in-full deliveries to 96% (2016: 91%)
  • Security Hardware acquired in February 2017 for total net consideration of £1.6 million
    • Supplier of locks, hardware and spares to the RMI market, with annual sales of c.£3 million
    • Integration and roll-out of spares proposition for branches substantially complete and gaining traction


Our sales growth was good at +10% (+8% excluding acquisitions), with market share gains across the business. Profitability was solid, having been impacted by a subdued Repair, Maintenance and Improvement (‘RMI’) market, especially in the second half, and higher raw material cost inflation.

As a result, we reported adjusted profit before tax of £24.5 million, up 1% on last year. Reported profit before tax of £23.7 million is down 0.7% on last year.

Cash conversion remains solid, with underlying operating cash flow of £28.8 million (2016: £32.2 million) driving a reduction in net debt to £14.5 million (31 December 2016: £20.3 million). We have a strong balance sheet which provides flexibility and options for the future.

In February 2017, we completed the acquisition of Security Hardware Limited, a supplier of locks and hardware primarily to the RMI market, with annual sales of approximately £3 million. The integration is now substantially complete.


In January 2018, building on the work done in 2017, we conducted a review of the Company’s strategy and the fundamental elements of our markets and activities. At the conclusion of this process, we reaffirmed that our overall objective remains to deliver sustainable growth in shareholder value by increasing sales and profits at above our market level growth rates.

We have five clear strategic priorities to help us achieve our overall objective:

  • Target growth in market share
  • Expand our branch network
  • Increase the use of recycled materials
  • Develop innovative new products
  • Explore potential bolt-on acquisitions

We made good progress with each of these priorities during 2017, with the key aspects of our performance described in the Chief Executive’s Review.

Looking forward, we will continue to develop each of these areas. We expect the significant investments now made in our specifications teams and in expanding the branch network will deliver further gains in market share. In addition, in response to continued raw material cost inflation, we intend to place more emphasis on increasing the use of recycled materials in our manufacturing processes.

Further information on our strategic initiatives can be found on our Strategy page.


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