Commercial flooring manufacturer and international distributor, James Halstead plc, has reported a decline in half year sales.

According to its latest trading update ended 31 December 2025, total sales fell 2.2% to £127.2m from £130.1m in 2024.

Pre-tax profit resulted at £24.7m, slightly down from £28.5m recorded in the previous year.

The UK represents its largest market at 44.25% of total turnover (2024: 42.7%). UK sales were 1% higher in the period despite there being a slowdown in activity in its UK commercial flooring sales.

This slowdown was almost entirely in the latter 2-3 months of the trading period which was driven by certain of the larger distributors reducing purchases towards the calendar year end.

However, ongoing expectations are for increased sales in the UK as spending on education, prisons, health care and aged care, particularly refurbishment, picks up.

Notwithstanding the flat sales in the UK and central Europe, the group has seen certain markets perform well, notably the USA (+15%), Canada (+25%) and Africa (+41%), with the Middle East comparable with last year.

However, its export market lagged the comparative by 5%, with Northern Europe and Australia/New Zealand being the weakest markets.

Mark Halstead, Executive Chairman, commenting on the results, said: “I am pleased to report a robust balance sheet, strong cash inflow and a record interim dividend achieved against a backdrop of challenging markets. Our very long record of dividend increases continues and the markets in which we operate continue to generate demand which in turn gives us confidence in the medium term.”