- Flooring supplier Headlam Group forecast flat revenue and lower profits in 2019 amid expectations the UK market would show further weakness.

The company said it expected its final results for calendar 2018 to be 'marginally ahead' of 2017 and in line with market expectations, with a 'very slight' increase in its dividend.

Its performance in 2019, however, was expected to deteriorate.

'It is currently anticipated that the UK market will show further general weakness during 2019, particularly in the residential sector where the company's distribution business is more heavily weighted,' it said.

'As a result, the company considers it prudent to expect revenue for the current financial year to be in-line with 2018.'

Pre-tax profit in 2019 was expected to fall to between £39m and £41m.

The anticipated slide was pinned on a number of factors, including revenue mix, inflationary pressures and efficiency initiatives aimed at improving margins.

Headlam said it intended to maintain its 2019 dividend in-line with that of 2018, despite the profit guidance for the year.

At 2:25pm: [LON:HEAD] Headlam Group PLC share price was -5.25p at 394.75p

Story provided by