UK timber importer and distributor James Latham Group has just announced its preliminary results recording a 6 per cent increase on last year’s turnover.
 
The results show a significant increase in operating profits to £4,984,000 against £4,148,000 last year, an increase of 20.2 per cent.
 
Including disposals, the figure before tax is £11,644,000 against last year’s £21,594,000.  Excluding this year’s profit on the disposal of Nevill Long, the ceiling, drylining and partitioning distributor and last year’s profit on the disposal of fixed assets, the pre-tax profit is £5,423,000, 43.2% higher than last year.
 
Commenting, Chairman, Roger Latham said, “Overall, the group shows an improvement on last year.  Lathams Ltd, the panel products and timber distributor achieved a 3% increase in turnover. However, due to the global availability of timber products which put pressure on prices and margins, the third quarter was poor, but trading did pick up again in the final quarter.”
 
Mr Latham continued, “Nevill Long Ltd had an excellent year.  Prices of a number of the company’s main product lines increased substantially and remained at the higher level.  Sales were 20% higher than the previous year and, combined with an improved gross margin, resulted in a record profit of £1,990,000.”
 
Nevill Long’s profits had been volatile in the past relying on a narrow customer range and synergy with the rest of the James Latham Group was negligible and the opportunity was taken to sell the company on 31 March 2006, realising a profit of £6,229,000. 
  
After the sales of the Clapton site in 2005 and Nevill Long Ltd earlier this year, and with the pension scheme better funded, James Latham plc is now in a strong financial position and the directors intend to develop Lathams Ltd’s core business of timber products distribution over the coming twelve months as and when opportunities arise.
 
For more information about James Latham, visit the company website at www.lathamstimber.co.uk.
 
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For further press information contact:
Tim Roberts at Connectpoint PR on 0161 817 4200 or 07831151007