Where will this lead to?

rather late in the day (13th) i did actually take a small short position here ..... it must be almost the first time i have got this stock right though i am surprised at the quantum of this morning's fall

Wolseley fell after CRH warned over its outlook for the U.S.

Irish building supplies giant CRH set the tone for the session, warning core earnings would fall 10 percent this year, pointing to mounting concerns over the economy in the United States.

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with the above in mind + high volume in WOS + horrid chart (see above) and offer book far longer than bid, i reckon it will do no harm at all to leave my short running, with 1150 as the obvious target or support

6 month chart - long or short?

i have always called this wrong so have given up putting money with mouth, but i'ld reckon a short as with UK housebuilders and gov't-reliant contractors (SCHE!)

I've been long since the summer, so looking at 50%+ - just taken a contrarian short until I decide what to do :-)

Interim Management Statement

Builders' merchant group Wolseley said revenue increased by 6% on a like-for-like basis in the third quarter to end-April.

Trading profit was 30% ahead at 131m ,with gross margin, at 28%, 0.2% ahead of last year.

Operating costs were 19m lower than last year (underlying: 2.8% higher).

Adjusted net debt was 824m, 109m lower than 31st January 2011.

During the quarter the Group generated revenue of 3.271bn, 1% ahead of last year, and 6% ahead on a like-for-like basis.

The impact of inflation on Group revenue continued at about 3%, principally due to rising commodity prices.

Despite continued pricing pressure, Wolseley said focus on improving customer and product mix led to a higher gross margin of 28% in the quarter, 0.2% higher than last year.

Operating costs were 19m lower, principally as a result of disposals, though the underlying cost base in constant currency increased by 2.8% compared to last year.

The net impact of non-recurring items charged to trading profit in the quarter was not material to the overall result.

Trading profit of 131m was 30m higher than last year.

RNS Number : 2115K

Wolseley PLC

12 July 2011

WOLSELEY PLC

12 July 2011

Disposal of Electric Center

Wolseley announces that it has signed an agreement to sell its Electric Center business to Edmundson Electrical, a leading distributor of electrical equipment to trade and industry in the UK. Completion will follow a period of employee consultation and is expected to occur in the next few weeks.

In the year ended 31 July 2010, the business generated revenue of GBP130 million and trading profit of GBP1.5 million. In the 10 months ended 31 May 2011, revenue was GBP115 million and trading profit was GBP2.2 million. Net assets at completion are expected to be around GBP29 million and the transaction is expected to generate a small gain on disposal. The cash consideration will be used to pay down debt.

Commenting on the sale, Ian Meakins, Chief Executive of Wolseley plc, said:

"This transaction is in line with our strategy of focusing on businesses where we can create leading market positions. Given the complementary nature of Edmundson and Electric Center, the transaction represents a good outcome for the business and its employees. We wish them every success for the future."

For further information please contact

Wolseley plc

as i have said before, i never ever get the timing right on this stock, but with that caveat, it's worth noting that 200 dma was pierced (south) with considerable force today, closing near its session low

Another gap buster.

Another stonking day here - Croc would be pleased :-)

Closed up 99p.

Final Results.

Financial highlights

. Revenue of 13,558 million, 3% ahead of last year and 5% ahead on a like-for-like basis.

. Gross margin 20 basis points higher despite challenging trading conditions.

. Trading profit of 622 million, 38% ahead of last year.

. Adjusted net debt 490 million better than last year.

. Final dividend of 30 pence per share - total dividend for the year 45 pence per share.


Operating and corporate highlights

. Improved trading profit and gross margins in most businesses driven by better customer service and employee engagement.

. Five small bolt-on acquisitions in the USA and Denmark since last year.

. Disposal of non-core businesses largely completed.

. Redomicile to Switzerland completed.

. Refinancing of 822 million revolving credit facilities completed with significant reduction in future finance charges.

. Planned capital investment of 160 million including 90 new branches.

A Grand old Duke of York in the last 6 trading days - currently up 125 +8.2%

Another fine candle today.

1st Quarter Resukts.



First quarter highlights

Like-for-like revenue growth of 5%.

Gross margin of 27.1% was 0.1% ahead of last year.

Trading profit was 16% ahead at 185 million.

Adjusted net debt of 587 million, 118 million lower than 31 July 2011.

Sold Encon in the quarter, and completed the disposals of Build Center and our minority stake in Stock Building Supply in November.

Completed two acquisitions in the quarter and one in November, in the USA, with aggregate annual revenue of 88 million for consideration of 29 million.

1959 the high since the summer and a possible double top.

Not bad - up nearly 6 quid since late September.

Near 3 year highs today @2402.

Just the £10 increase since late August.