Luxury interior furnishings group Walker Greenbank has announced that its latest trading update remains ‘in line’ with expectations as full production within its facility is close to completion following a flood last year.
According to its latest results in the six months to 31 July 2016, total sales were down 2.1% at the half year in reportable currency, down 4.2% in constant currency, compared with the corresponding period last year.
Brand sales in the UK, the company’s largest market, were down 6.1% at the half year, whilst overseas sales were up 4% in reportable currency at the half-year, down 1.6% in constant currency.
Walker Greenbank suffered severe flooding back in December 2015 at its Standfast & Barracks factory. The company confirmed that the site is almost back in full production and that good progress has been made in fulfilling the backlog of printed fabric orders.
During the half year the company received two interim insurance payments totalling £12m in connection with the flood. Further interim insurance payments will be received in due course. (See related).
Commenting within a statement, Walker Greenbank said: “It is too early for the Board to comment in detail on the impact on the company of the UK’s decision to leave the European Union. However, the Board does not expect the company to be adversely affected by the current weakness of sterling.
“A large proportion of the Group’s activities and earnings are denominated in US Dollars and Euros. As a result, if the current relative weakness of sterling continues, the Board would expect a modest gain to reported sales and profitability.”