Growth in the US boosts Wolseley’s figures but investors advised to ‘hold’

As Wolseley reports Q3 results Graham Spooner, investment research analyst at The Share Centre, explains what they mean for investors.
 
“Wolseley reported positive Q3 figures this morning which showed its US operations continuing to perform well. Sales in the region were better than expected, up 9% compared to last year. With around 50% of the company’s revenues coming from the US, investors will be pleased to see this positively impacting these results.
 
“Like many companies recently Wolseley saw currency exchange movements have an adverse effect on figures, impacting growth in profits.
 
“Continued improvement in the US should help underpin the share price which has been trending sideways over the last 12 months. However, with operations continuing to struggle in Europe, leading to some write downs, we continue to recommend Wolseley as a ‘hold’ for investors.”