JSE-listed building materials supplier, Cashbuild, on Monday said revenues for first quarter surged 10 percent, bolstered by contribution from new stores.

Cashbuild’s 18 new stores which were opened since 1 July last year contributed 6 percent to the revenue increase, while 199 existing stores contributed 4 percent.

“Transactions through our tills during the 1st quarter increased by 7 percent with new stores increasing 7 percent,” the company said in a quarterly trading update.

“Existing stores remained at similar levels. Units sold increased by 5 percent with existing stores remaining at similar levels,” it added.
During the period under review, three new stores were opened, two stores refurbished and two were relocated.

One store trading in close proximity to another closed at the end of the quarter, bringing the number of stores trading at the end of the quarter to 217. A further two CashbuildDIY stores were opened during this quarter bringing the number of these pilot stores trading by the end of this quarter to eight.

However, trading conditions remained tough throughout the quarter, the company admitted on Monday. Selling inflation was at 4 percent at the end of September 2014 when compared to September 2013.

Cashbuild said gross profit percentage margins remain at similar levels to those reported for the full prior financial year.