Jun 29, 2015. /Lesprom Network/. In what has been another strong year of trading for timber importer and distributor James Latham, the business has announced impressive results for the financial year to 31 March 2015. Group revenue was GBP 174.9 million ($275 million), 7.2% up on last year’s GBP 163.1 million ($257 million) and operating profit was GBP 10.6 million ($16.7 million), up GBP 1.1 million ($1.7 million) from an adjusted GBP 9.5 million ($14.9 million).

Pre-tax profit was GBP 10.1 million ($15.9 million), up GBP 1.4 million ($2.2 million) from an adjusted profit of GBP 8.7 million ($13.7 million) last year. The tax charge represents a rate of 22.6% up from last year’s 18% which benefited from a credit due to a reduction in rates of tax used in deferred tax calculations.

Commenting on the results, Chairman Peter Latham said, “Revenue continued to grow during the year due to increased volumes both in ex-warehouse and direct business. Year on year growth was slightly lower in the second half year, because 2013/14 had been a very strong final quarter, however, both panels and timber grew revenues throughout the year. The gross margin per cent, before warehouse costs, increased by 0.4 percentage points, due to a better product mix.

“In addition, timber and panel prices remained steady throughout the year. Focus panel products including Melamine Panels and Door Blanks, continued to show good growth. Accoya modified wood and WoodEx, our brand of engineered timber for the joinery sector, were particularly successful this year.

“Overheads have been controlled, and are within our budget forecast, but higher than last year’s due to the extra volumes, smaller order size and later order times for next day delivery. Staff numbers have increased during the year, with sales staff recruited in areas of the business where we see opportunities. Bad debts were low overall for the year, despite the relatively high level seen in the first quarter of the financial year.

Looking forward, Mr Latham added, “This year, so far, revenues are 7% higher for April and May than the corresponding period last year, both in panels and timber and the gross margin is also higher. It is a steady start to the year and generally customers are busier than they were for the final quarter of last year. The panels market remains particularly competitive, although we are seeing encouraging growth in the newer decorative products we have introduced.”

James Latham is a leading importer and distributor of wood-based sheet materials ("panel products"), joinery quality softwood and hardwood and hardwood flooring.