Victoria Reports Softness in First Half of 2024

Worcester, UK, October 16, 2024-"Victoria reported continued softness in flooring demand across its markets in its first half,” reports ShareCast.

Victoria owns many flooring brands, including Cali and International Wholesale Tile in the U.S. market. 

“The AIM-traded company said it expected to report revenue of about £580m and underlying EBITDA of £50m for the six months ended 1 October.

“It said that performance mirrored the challenging conditions seen in the latter half of the 2024 financial year, where demand was 20% to 25% lower than 2019 levels due to broader macroeconomic factors.

“However, Victoria said it had generally outperformed the market, particularly in the UK, as its management anticipated improved trading in the second half of the year due to strategic actions taken to optimize costs and a slight uptick in demand.

“Despite the industry-wide downturn affecting margins, Victoria said it had maintained stable pricing.

“Management said it had been focusing on cost-saving initiatives that would position the company for margin recovery as demand improved.

“Key actions included the integration of Balta’s UK carpet business, delivering savings in rent, logistics, and personnel, and optimizing production capacity by relocating operations from Belgium to Turkey, with further savings expected in the 2026 financial year.”