Grafton Group turnover falls by a third

Turnover at Grafton, the builders' merchants and DIY group which includes Woodie's and Atlantic Homecare, has fallen by €220 million for the first three months of the year.

Turnover of €470m to the end of March was 32% down on the first quarter of 2008.

The group's merchanting business, which accounted for 85% of total turnover, declined by 25% while retail turnover fell by 17%.

The group has warned that it faces challenging trading ahead due to the construction downturn and reduced consumer spending but has predicted that cost cutting should save the company up to €55m in 2009.