Flooring group Headlam has told investors it is still struggling with tough market conditions after seeing an 8.2 per cent fall in first half sales.
The Coleshill-based company revealed like for like revenue in the UK fell by 10.7 per cent in the year to July.
The carpets and tiles business also saw sales to Continental Europe fall by 9.7 per cent, though the impact of currency translation increased revenue on translation by 14.8 per cent.
This, combined with a first half contribution from residential flooring firm Silvester, which it acquired in November, led to overall revenue growth from the continental businesses of 7.4 per cent.
In a trading statement, the company said it had managed to improve margins by keeping a keen eye on costs.
It said: “Percentage gross margin achieved during the first six months of this year has eased compared with 2008 principally because of the ongoing change in product mix. We continue to maintain firm control on overhead cost but have not implemented any further restructuring.”
Headlam had announced in May that sales for the first four months of 2009 were down by 8.5 per cent compared to the same period in 2008.