Walker Greenbank is a luxury interior furnishings group combining specialist design skills with high-quality upstream manufacturing facilities. Leading brands include Harlequin, Sanderson, Morris & Co, Scion, Anthology, Zoffany and Clarke & Clarke.
H120 revenue looks to have been broadly similar to the prior year on a reported basis. Core UK sales are still tracking below prior year levels in both Brands (products -3.1%) and Manufacturing (we estimate UK third-party sales down c 10%) and the overall rate of decline is lower than seen in FY19 as a whole. There has been progress in international markets for manufactured products (sales +17.2%) though like-for-like Brands export turnover was modestly down. Positive steps have been taken and although the domestic market remains challenging, management’s full year expectations are unchanged. End July net cash is likely to be similar to the year-end £0.4m providing a flexible backdrop for the expected strategic update with the interim results announcement in October.
The UK interior furnishings industry has experienced uncertainty for many years under the influence of economic shifts and fashion changes. Many brands have failed to grow, while significant production capacity has been closed down, with manufacture for the volume segment largely moved overseas. Success continues to be delivered by businesses able to differentiate themselves from competition by consistently offering innovative and high-quality design and products.