Wolseley has announced that it will be changing its name to Ferguson and stepping away from its operations in the Nordic regions.
The plumbing and heating supplier will continue to use the Wolseley name in the UK and Canada, but the group’s name will be changed to reflect the success of its US subsidiary Ferguson.
“Ferguson now accounts for 84% of group trading profit and we have decided to align the group’s name with our most significant brand in our largest market,” said chief executive John Martin.
The company has now begun the process of leaving the Nordic region, having identified “few synergies with the rest of the group’s plumbing and heating business”, Mr Martin said.
The announcement comes as Wolseley revealed that its profits for the six months to January 31, 2017 fell 11% to £328m, compared to £367m in the previous year.
However, revenues were up nearly 7% at constant exchange rates. Changes in foreign exchange rates saw overall revenues increase by nearly 25%, rising from £6.8bn to £8.5bn.
The company also announced that Frank Roach, chief executive of the Ferguson subsidiary, will be retiring on 31 July, 2017. He will be succeeded by Kevin Murphy, the company’s chief operating officer.
“Kevin is an outstanding leader with a strong track record of driving profitable growth and a deep understanding of our industry,” said Mr Martin. “He has the right skills and experience to lead the US business as it continues to execute its successful strategy.”