Shares in British plumbing supplies group Wolseley fell almost 3 per cent on Tuesday after a one-off charge and struggling European markets offset strong demand for its services in the United States.

The company, which operates the Plumb Center and Ferguson chains in the US and Britain, reported a £245 million impairment charge relating to its 2006 purchase of DT Group in the Nordic region. The charge pushed Wolseley to a net loss of £58 million in the six months to January 31st.

Wolseley, which operates in the United States, Canada, UK, Nordics, Central Europe and France, said it expected underlying group trading profit for its financial year to be in line with expectations after strong demand in the United States helped earnings rise 12 per cent in its first half.

The company paid an interim dividend of 30.25 pence per share, an increase of 10 percent.

Underlying trading profit rose to £390 million for the period, compared to £351 million a year earlier. The company also said it expected a like-for-like revenue growth rate in the second half of the year of around 6 percent.

Wolseley said it had seen very strong revenue growth and market share gains in the US, which accounts for 76 per cent of its trading profit. Revenue grew by nearly 12 per cent on a like-for-like basis in the first half of the year.

Chief executive Ian Meakins, in the role since 2009, said he expected improvements in its markets like Canada, Britain, Sweden and Denmark over the coming months. – Reuters