Likewise reveals sales boost after logistics investment

Sales in the Likewise Floors division were up by more than 29 per cent in the 12 months to December 31.

In its trading update for the year, Birmingham-based Likewise Group revealed total group revenue increased by 13.6 per cent to £140.2m.

The update noted increases were “particularly positive” given the “macro-economic headwinds and subsequent challenging market conditions”.

Tony Brewer, chief executive of Likewise Group, said revenue growth was ahead of current market expectations and that underlying profitability was expected to be in line with market expectations, reflecting continued investment in the future of the business.

The trading update highlighted “the most encouraging factor” as the high sales volumes in November with “even greater activity” averaging £660,638 per day in the first half of December, additional demand that was efficiently processed due to the improved logistics infrastructure.

Mr Brewer said: “The board would like to thank our management and sales team for generating increasing volumes, and particularly our telesales, administration, warehouse, night teams and delivery drivers for their important contributions.

“The ability and commitment of our people combined with the infrastructure coping with ever increasing volumes, demonstrates the ability of the business to surpass its medium term objectives.

“The group has come a long way in the last three years and we look forward to a positive and exciting future as the group capitalises on the many opportunities for the benefit of all our employees, suppliers, customers and shareholders.”

The Likewise Group trading update said that the board was “confident” of achieving the current market expectations for FY24 as the group continues to develop its position in the UK flooring market.

“As demonstrated with the maiden interim dividend declared in September 2023, the board is committed to a progressive dividend policy in line with profitability.”

The update went on to describe how the group has invested heavily in point of sale displays and sampling to significantly increase its market presence over the last three years in conjunction with establishing the logistics infrastructure.

“The final quarter of 2023 demonstrated the success of this strategy to date with the ability to generate increasing sales revenue whilst providing the operational expertise to service customers effectively," it said.

“This strategy will continue into 2024 as the group is confident in continuing to gain market share and through operational gearing, improve profitability.”

January 2024 will see the launch of Likewise Wales with an experienced team operating from the group’s Newport distribution centre, which is expected to quickly develop a significant presence in both commercial and residential markets.

Likewise Scotland is also now able to expand its presence through significantly increased capacity in the Glasgow distribution centre, with further investment in the Birmingham distribution hub to help the development of Likewise Floors and the ever-expanding Likewise Midlands business.