At FinancialMediaGuide, we note that British building materials supplier Travis Perkins, one of the country’s largest players in the sector, is showing signs of recovery despite the prolonged slowdown in UK construction. According to the company’s latest report, like-for-like (LFL) sales grew by 1.8% in the third quarter, driven by flexible pricing strategies and a series of targeted promotions aimed at regaining market share in its core merchanting division.
The company’s management emphasized that, in a highly competitive and unstable market environment, the priority remains retaining customers through competitive pricing and personalized offers. As Chairman Geoff Drabble noted, the company will continue to invest in pricing initiatives and promotions in the near term to strengthen its market position.
Our analysts at FinancialMediaGuide point out that the positive sales momentum at Travis Perkins comes against the backdrop of a broader industry downturn. According to recent business surveys, construction activity in the UK has been contracting for nine consecutive months – many firms are postponing major projects ahead of the November budget. Despite this, the Merchanting division, which supplies construction and home improvement markets, achieved 1.7% LFL sales growth in the three months ending September 30.
The company is also preparing for a leadership change – in January, Gavin Slark will take over as CEO, which, in our view, could bring fresh strategic energy to Travis Perkins.
At Financial Media Guide, we see the company’s latest results not as a short-term rebound but as a signal of potential stabilization in one of the UK’s key industries. The focus on flexibility, market adaptation, and customer loyalty could provide a solid foundation for sustainable growth in 2025.
