Cashbuild's revenue up 8% but margins fell
Building material retailer Cashbuild said on Tuesday (6 August) in its fourth quarter operational update that revenue had increased by 8%‚ but gross profit margins declined and trading conditions were expected to remain competitive.
Cashbuild is in the process of finalising its results for the year to June‚ the company said in a Sens statement.
Four new stores were opened during the fourth quarter and it now has 200 stores in the country.
"As result of the competitive trading environment‚ gross profit margins declined during the fourth quarter. Selling price inflation was 2% when compared with June last year.
"Management expects trading conditions to remain competitive until the first quarter of the new financial year and gross margins to remain under pressure. Store development activity is expected to continue at levels seen over the past two quarters‚" the company said.