Likewise Group has achieved a significant milestone by taking orders worth £1 million in a single day for the first time. Additionally, the Group is reporting a 12.9 per cent sales increase to £139.5 million for the financial year ending 31 December 2023.
The underlying profit before tax, bolstered by continued investment to achieve medium-term objectives, stands at £2.3 million. A proposed final dividend of 0.25p, subject to shareholder approval at the AGM, will contribute to a total dividend of 0.35p in 2023, marking a 75% increase from 2022.
Chief Executive Tony Brewer commented, “Likewise Group plc has again made significant progress in 2023, which has continued into the first four months of 2024. Group sales revenue to the end of April increased by 8.7 per cent, and sales in Likewise branded businesses rose by 15.3% compared with the previous year. The group continues to trade in line with current market expectations.”
The current turnover of £139.5 million is highly encouraging. With significant investment in logistics and sales providing a strong foundation, Likewise now aims to exceed £200 million in the medium term. The Group now operates 11 distribution and logistics centres with a total capacity of approximately 15 million cubic feet, supported by 80 suppliers and 507 employees.
Tony added, “The Glasgow distribution hub, opened in Spring 2023, is now making a meaningful contribution to the Likewise logistics network. Likewise Scotland is progressively increasing market share in both residential and commercial flooring. Likewise North East, which moved into a new logistics centre at the beginning of 2022, is well-established across all flooring sectors and is positioned to expand its geographical presence. Likewise North, based in Leeds, is particularly active throughout the M62 Corridor and is enhancing service to North West England through the new Manchester logistics centre. Further investment in sales resources and point-of-sale will continue to increase market share in residential and commercial flooring.”
A&A will move into its new logistics centre in June. Having made a significant contribution to the Group since its acquisition in January 2020, this new facility will allow A&A to progress further in both residential and commercial flooring. Likewise Midlands, based in Birmingham, has made tremendous progress over the last two years and is now a principal distributor of residential and commercial flooring throughout the Midlands.
Likewise South is steadily gaining market share in residential flooring in the South of England and will benefit from the expansion of the Floors by Lewis Abbott premium branded carpet. Likewise London, which moved into a new logistics centre in Sidcup in January 2023, now has improved geographical reach and an enhanced transportation network. To further develop Likewise London, additional investment has been made in 2024 to strengthen the management and sales team.
Likewise South East, operating from its distribution centre in Sudbury, has also received investment to bolster its management and sales team. This allows both businesses to significantly increase their presence in the important London and South East flooring markets, particularly benefiting from the Floors by Lewis Abbott product range.
Tony highlighted that Likewise Wales became operational in January 2024 from the Newport distribution centre. With the support of the Likewise network, it has the potential to build a substantial business in both residential and commercial flooring. He added, “Valley Wholesale Carpets is a crucial part of the Group. The profitability and positive cash flow of Valley have been particularly strong over the last two years. Valley has extended its geographical reach over the past year, with further opportunities for expansion from its key distribution centres in Erith, Derby, and Newport. Moreover, Valley will expand its product portfolio and develop additional point-of-sale displays, providing an enhanced offering to customers while remaining autonomous within the Group structure.”
Tony Brewer concluded, “Likewise Group has made significant progress over the last three years. The board extends its gratitude to the management, sales teams, and all staff for their tremendous contributions. Despite challenging market conditions, 2024 has started positively, and we are confident in another successful year and a major step towards our medium-term objectives. We also thank our suppliers, customers, and shareholders for their support and look forward to strengthening these relationships further for our mutual benefit.”
Likewise Group PLC (LON:LIKE) is a distributor of floorcoverings and matting and has the opportunity to consolidate the domestic and commercial floorcovering markets to become one of the UK’s largest distributors in this sector.
