Yahoo Finance Norcros posts record revenues as homeowners upgrade properties
High-end kitchen and bathroom fittings supplier Norcros has posted a “record” set of full year results as homeowners take advantage of spiralling house prices and upgrade their properties.
The company boosted revenues by 15.9% for the year ending 31 March. They were up from £324.2 million to £396.3 million with profit before tax for the period up 36.5% from £30.6 million to £39.3 million.
Nick Kelsall, CEO of Norcros, said that the company had benefitted from a strong housing market that has seen property prices skyrocket following the coronavirus pandemic.
“We’ve got some very strong positions with the private new house build market. We expect that sector to remain really robust even if consumers are feeling the pinch. We can only see that sector being more robust, primarily due to the drastic shortage of the supply of new houses,” he said.
As a company that has 120 suppliers in China, Kelsall said that Norcros had been acutely aware of supply chain issues that had dogged the country over the past few months due to an unexpected pandemic return in the region.
He said that the company was “not complacent” and that Norcros had the benefit of 15 years’ experience in China and that “supply chain challenges are moderating with the gradual opening of Shanghai”.
Kelsall also said that the company would rely on the diversity of its product range to challenge any cost of living crisis and that the company’s success “has been gaining market share, even when market size or demand might even soften”.
Last month Norcros bought Grant Westfield a UK supplier of waterproof bathroom wall panels for £80 million.
The company said that it expected the acquisition to be “double digit earnings enhancing” in the first full financial year after the completion of the transaction.
