Luceco's results remain well ahead of pre-pandemic levels
Lighting products maker Luceco said its results remain well ahead of pre-pandemic levels after reporting an increase in both revenue and profits.
The Telford-based group said revenue increased by 29 per cent to £106.4 million and adjusted operating profit rose by 60 per cent to £11.5 million from the first half of 2019.
Whilst there has been a slowdown in DIY demand post-lockdown, Luceco said the market demand for its products is stronger than current results suggest, due to customer restocking.
Luceco added it is emerging from the pandemic as a stronger business with significant long-term growth prospects.
John Hornby, chief executive, said: “Our trading performance relative to prior year comparatives reflects the very buoyant demand we experienced in 2021, boosted by Covid lockdowns and stocking up by our distributor customers.
"It also reflects slower demand in 2022 as DIY markets have normalised and as our customers have run their stocks down.
"Whilst we were not able to match the record benchmark set last year, our results remain significantly ahead of pre-pandemic levels, underlining the strategic progress we have made over recent years.
"The current headwind from customer destocking is likely to continue into early 2023 but is fundamentally temporary in nature.
"Our margins and cash generation are improving and our balance sheet is in good shape.
"I am encouraged by the progress and potential of our recently acquired businesses, particularly the access they have given us to the growing EV charging market.
"I am confident that we are well positioned to continue to perform as we navigate a period of macroeconomic uncertainty.”
