Grafton turnover €2.6bn last year

Building company Grafton said today that group turnover for 2005 exceeded €2.6bn, the company said in a trading statement today.

The group benefited from a continuation of a favourable operating environment in Ireland that compensated for weaker trading conditions in the UK during the second half of the year.

Former rival Heitons, acquired in January 2005, performed ahead of group expectations and contributed significantly to group profitability, Grafton said.

The UK market continues to cause concern for the company. Grafton expects difficult conditions to continue in that market during the first half of 2006.

"A shortfall in like for like sales (in the UK) is anticipated compared to a strong performance in the first half of 2005," Grafton said today.

Last year, Grafton completed 17 acquisitions, 14 in the UK and three in Ireland for a total of about €470m (including €359m for Heitons), adding 89 branches and increasing the branch network to more than 480 trading locations.

Group earnings for 2005 are expected to be in line with market expectations of a basic EPS of circa 66c.