Travis Perkins has released its results for the first half of the year, showing an improved situation for the industry leader.

Despite subdued market conditions, Travis Perkins held profits steady in the first half of the year, generated strong cash flow and returned to a net cash position, with early signs of improvement in its General Merchant business and continued momentum at Toolstation UK.

Revenue for the six months to H1 2026 declined by 1.8% to £2.26 billion, compared with £2.30 billion in the prior year. The reduction is ascribed to lower market volumes and the impact of the previous year's disposal of Staircraft, although this was partially offset by building materials price inflation.

Despite the softer revenue performance, adjusted operating profit excluding property profits remained stable at £62 million, matching the prior year. Statutory operating profit increased 10.2% to £65 million, while profit after tax rose 15.4% to £30 million, highlighting continued operational discipline and improving efficiency across the business.

A key highlight of the period was encouraging progress in rebuilding profitability within the General Merchant division. The business achieved an expansion in gross margins through more effective pass-through of supplier price inflation, a more favourable sales mix and procurement improvements. The group sees these early gains as an important step in its wider turnaround strategy.

Toolstation UK continued to perform in line with expectations, delivering further growth in revenue, operating margin and return on capital employed. 

The group's specialist businesses demonstrated resilience throughout the period. While demand in the new-build housing market remained subdued, this was partially offset by improving activity in infrastructure-related projects, helping to support overall performance.

Alongside operational progress, the group continued to strengthen its balance sheet through strong cash generation. This performance was driven by disciplined working capital management, rigorous capital allocation and active management of the property portfolio.

The business reported net cash before leases of £55 million at the end of the period, a significant improvement from net debt of £103 million in H1 2025. 

Financial highlights

  • Revenue: £2.258 billion (H1 2025: £2.300 billion), down 1.8%
  • Adjusted operating profit: £67 million (H1 2025: £63 million), up 6.3%
  • Adjusted operating profit excluding property profits: £62 million (unchanged year-on-year)
  • Operating profit: £65 million (H1 2025: £59 million), up 10.2%
  • Profit after tax: £30 million (H1 2025: £26 million), up 15.4%
  • Adjusted earnings per share: 15.1p (H1 2025: 13.3p), up 13.5%

CEO Gavin Slark commented: "I have enjoyed my first half since joining as CEO in January. I have developed a clear understanding of our many strengths, but also where we need to improve if we are to restore the Group's financial performance and reach our potential.

"We have built on the operational progress made last year, with a new senior leadership team in place and a clear set of priorities. This stability and focus is serving us well as we implement further change. We have made encouraging early progress in rebuilding profitability in the General Merchant and Toolstation UK continues to perform in line with our expectations. We continue to place the customer back at the heart of the business, recognising the value of strong relationships and the importance of providing great service.

"Our financial position continues to strengthen and is providing us with the flexibility to invest where we see the best opportunities ahead of any market recovery.

I would like to thank all our colleagues for their dedication and commitment during the first half. We can be confident and optimistic about our future prospects."