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Headlam Group PLC on Wednesday warned that its annual performance will fall short of expectations after a continued slowdown in sales, as the company accelerates restructuring and cost-cutting efforts to restore profitability. The Birmingham, England-based floor coverings distributor said revenue in the four months to October 31 fell 5% year-on-year, reflecting ‘challenging market dynamics and execution.’ ‘This performance is below our expectations outlined at the interim results in September 2025, and therefore the board expects full-year performance to be below expectations,’ Headlam said. In response, shares in Headlam were down 11% at 50.29 pence in London on Wednesday afternoon. The company has launched a comprehensive restructuring and cost reduction programme, which will now be accelerated. Further details of the plan are set to be presented on November 11. The measures aim to return the group to profitability and bolster its competitive footing despite what it described as a ‘subdued’ market environment. Headlam said it also remains focused on strengthening its financial position, including through potential property disposals. ‘The board is confident that these measures, combined with the group’s market position and established relationships with suppliers and customers, provide a platform for a return to sustainable profitability and growth,’ it added. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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