Building materials group Grafton said January trading was "badly affected" by unusually cold temperatures, pushing sales €25 million lower than the previous year.
In a trading update ahead of today’s AGM, the company said sales in Ireland continue to be below levels achieved in 2009 but the rate of decline had reduced.
Trading in the UK, which now accounts for over 70 per cent of turnover, picked up after the poor start to the year in January with “like-for-like turnover growth” recorded in each of the following months.
Group turnover for the four months to the end of April was €617 million, down €22 million on the first four months of 2009.
UK merchanting sales increased by 4 per cent in the three months to the end of April.
Grafton said it had seen a strong resurgence in new house building in the UK and was optimistic that the positive effects of this on its businesses will continue.
The company said it managed to cut costs by €1.7 million during the first three months of the year which will result in annualised savings of €4.2 million.
“The group continues to retain good liquidity and financial flexibility with a strong balance sheet and high cash deposits,” it said.