Likewise Group plc has raised its profit expectations for the year ending 31 December 2026 after a strong October, when Group revenue increased by 36.7%.
The latest trading update showed year-to-date revenue growth of 22.8% against the corresponding period last year, extending the positive sales trend the business had previously flagged in late summer and early autumn.
The improvement was spread across the group’s businesses, including Likewise Floors, Delta, A&A, H&V, Lewis Abbott, Likewise Rugs & Matting and Valley Wholesale Carpets.
On the back of higher sales and improved operational gearing, the board now expects the group to be materially ahead of current market expectations for FY26. Profit before tax is forecast to be at least £6 million.
The executive team is continuing work on the acquisition and integration of the assets bought from the administrator of Headlam Group plc. Likewise said that process is progressing across all aspects of the transaction.
Thatcham hub begins deliveries
The group bought the freehold of a 90,000 square foot high bay distribution hub in Thatcham using cash resources following its placing in July 2026. It now owns the freehold of eight properties valued at £56 million, with £11 million of fixed debt.
Incoming deliveries to Thatcham started on 22 October to build stock levels. During November, the facility is expected to become an important part of the Likewise Floors logistics network, particularly across the South of England. It is also expected to improve service levels in Newport, Birmingham, Sudbury, Plymouth and Sidcup.
Concept Flooring Supplies in West Bromwich and Stoke-on-Trent has replenished stock levels and is almost back to “service as normal” for its supplier and customer base. Meanwhile, the premium carpet brand Crucial Trading has placed stock orders with key suppliers to supplement existing stock, and the bespoke rug manufacturing operation in Kidderminster is processing incoming orders.
Integration and growth plans
The Stock Agency Agreement is being managed carefully to sell through administration stock and avoid disruption to the UK flooring industry. Numerous exclusive products from the acquired brands are being restocked in Likewise Floors and Valley Wholesale Carpets to support continuity across residential and commercial customers.
To support transport and logistics requirements, the group plans to increase its delivery truck fleet by 16 to 192 this year, with further increases envisaged in the first and second quarters of 2027.
While FY27 trading is described as very difficult to predict, the board says the acquisition and the trajectory of the existing businesses should move the group rapidly towards its next objective of £300 million in sales revenue over the coming years.
Chief executive Tony Brewer said the group had made significant progress during the year and that product development and display initiatives over recent years were accelerating the business. He also welcomed staff from Headlam and thanked the company’s 738 employees for their contribution.
“2027 will be a particularly exciting year in our history as we endeavour to maximise all the opportunities before us in the UK flooring market and we very much appreciate the support of shareholders, suppliers, customers and all stakeholders,” he said.
