Grafton Group (GFTU) Q1 2026 TU earnings summary

Executive summary

• Revenue for the period 1 Jan–30 Apr 2026 rose 3.2% to £830.1m, up 1.0% in constant currency, driven by acquisitions and growth in Iberia, Ireland, and Northern Europe.

• Average daily like-for-like sales were flat, with growth in Iberia (+5.0%), Ireland (+1.8%), and Northern Europe (+1.6%) offset by a 5.0% decline in Great Britain.

• Acquisitions of Mercaluz (Spain) and Cygnum (Ireland) completed, expanding presence in fast-growing markets.

• Disciplined cost control and margin management remain priorities amid inflationary pressures and supply chain risks.

Financial highlights

• Adjusted operating profit for full-year 2026 expected in the range of £190m–£200m, in line with consensus forecasts.

• Over 75% of 2025 profits generated outside Great Britain, highlighting portfolio diversification.

• Share buyback program completed, repurchasing 2.75m shares for £25m; total buybacks since May 2022 amount to £453.3m and a 21.6% reduction in share count.

Outlook and guidance

• Trading conditions remain supportive in Ireland and Iberia, while recovery in Finland and the Netherlands is uncertain.

• Great Britain outlook has weakened, with construction activity expected to contract in 2026.

• Medium-term fundamentals remain positive, supported by housing shortages and anticipated RMI demand recovery.