Tougher trading

Mar 4 2008 by Henryk Zientek, Huddersfield Daily Examiner

BUILDING products group Heywood Williams battled back against testing conditions in the USA to post a 13.6% rise in operating profits today.

The Elland-based maker and supplier of doors and windows said operating profits totalled £11.7m for 2007 against £10.3m for the previous year. Revenues fell slightly to £250.5m from £256.2m.

Pre-tax profits fell by 3.2% to £9.1m from £9.4m – mainly due to the slump in the US housing market, where offshoot LaSalle Bristol supplies plumbing, lighting and flooring products. Operating profits there plunged by 77.8% to £1.2m.

In the UK and Europe, the group reported double-digit sales growth for hardware company Carlisle Brass and earnings above expectations for Avenco, the Irish manufacturers of handles, hinges and locks, which the group bought last August for £15.6m.

Heywood Williams said its European hardware division and its PVC hardware business – making doors, windows and conservatories – increased sales by 37% to £130m and more than double operating profits to £10.5m.

During the year, Mirfield man Mike Richards was appointed group finance director.

Chief executive Robert Barr said 2007 was “a satisfactory year” for the group given market conditions, adding: “The group has leading market positions, a record of strong cash management, excellent new products and rigorous cost reduction plans are being implemented.”