Effects of lending restrictions yet to be felt: Grafton

The full effects of the Central Bank’s mortgage lending restrictions are yet to be felt but underlying demand for homes offers the potential of strong growth for builders’ merchants.

Speaking as Grafton Group reported its half-yearly results, chief executive Gavin Slark said his builders’ merchanting and DIY business can look ahead to a positive short-to-medium term with encouraging economic signs on both sides of the Irish Sea.

Revenue rose 7% to £1.08bn (€1.48bn) in the first six months of the year while operating profit surged by more than 20% to £61.2m.