Howdens Reports 5.5% rise in underlying profit, reaffirms 2026 outlook

Howden Joinery Group Plc (LON:HWDN) has announced its half-year report.

First half performance demonstrates the strength of Howdens’ trade-only model.
On track with outlook for 2026.

^1. The information presented relates to the 24 weeks to 13 June 2026 and the 24 weeks to 14 June 2025 unless otherwise stated.

^2. “Adjusted sales” reflects the impact of one less trading day than the prior year. Adjusted measures are non-statutory (Alternative Performance Measures,
  APM’s), and this is reconciled to the nearest corresponding statutory measure in note 12.

^3. “Underlying results” are stated before £6.4m relating to acquisition costs. Underlying measures are non-statutory (Alternative Performance Measures, APM’s), and this is reconciled to the nearest corresponding statutory measure in note 12.

First half highlights

–      Group sales increased by 3.3% to £1,030.6m with adjusted sales ahead by 3.7%.

o  Adjusted UK sales 3.3% ahead reflecting balanced pricing and volumes.

o  Adjusted International sales up 13.0%, including the impact of foreign exchange translation.

–      Gross profit margin of 62.8%, supported by price and volume growth, sourcing and manufacturing efficiencies offsetting cost inflation.

–      Productivity and efficiency savings of £19m in the total cost base.

–      Underlying operating profit (EBIT) up 5.5% to £128.1m, operating profit margin 20 basis points ahead.

–      Underlying profit before tax of £122.2m grew 4.3%, after £9m investment in our strategic initiatives.

–      Operating profit (EBIT) of £121.7m (2025: £121.4m), profit before tax of £115.8m (2025: £117.2m) and Basic earnings per share of 16.2p (2025: 16.4p) are stated after £6.4m of acquisition costs.

–      Previously announced £100m share buyback programme will be completed in the second half.

–      DIY Kitchens acquisition completed after the end of the period on 23 June 2026.

Chief Executive Officer statement

“Our first half performance demonstrates the strength and growth potential of our differentiated, in-stock, trade-only business model. Our underlying operating profit margin was ahead of last year as we maintained our industry-leading gross margin and remained disciplined on costs with ongoing investment in our strategic initiatives continuing to strengthen our competitive position.”

“We are well prepared for our peak trading period in the Autumn, supported by our best-ever product line-up across kitchens and joinery. The combination of our highly engaged and well incentivised local depot teams, industry leading product ranges, consistently high stock availability and the skill of our trade customers at winning work, leaves us well positioned to continue to outperform in what remains a challenging marketplace.”

“We recently completed the acquisition of DIY Kitchens, which is a fast-growing, online, self-service kitchen business that is complementary to our much larger full service, trade-only kitchen and joinery model.”

Current trading and outlook for 2026

–     Trading to date has been in line with our expectations. We are well prepared for Autumn peak trading and our full-year outlook is unchanged.

–     Our planning assumption remains that the UK kitchen market will be level year-on-year in 2026.

–     We have good supply chain visibility and robust contingency plans in place should there be further disruption in the Middle East.

–     We remain focused on balancing price and volume, alongside disciplined cost management including working with suppliers to mitigate input cost inflation.

–     Overall, we remain well placed to outperform our competitors again in 2026, while continuing to invest in our strategic initiatives.