DIY and home improvement giant Wickes has revealed a bold and accelerated expansion strategy, aiming to significantly grow its national footprint to 300 stores while creating more than 2,000 new jobs across the United Kingdom. This ambitious plan comes as the company reports robust financial performance, demonstrating resilience amid broader economic pressures.
Accelerated Store Rollout and Job Creation
Currently operating a 230-strong estate, Wickes is set to open four to five new stores throughout the current year. The retailer then plans to ramp up its opening programme substantially, targeting at least 10 new store openings annually from 2028 onwards. This expansion is projected to bring the distinctive Wickes offer to new communities nationwide, directly supporting the creation of over 2,000 employment opportunities.
Store Refresh and Investment Strategy
Alongside new store openings, Wickes is committing to an extensive store refresh initiative. The company aims to refurbish 15 to 20 existing sites this year, with plans to refresh at least 20 stores each year from 2028. This dual strategy of expansion and modernisation underscores the retailer's confidence in its proven growth model.
Strong Financial Performance Fuels Growth
The expansion plans were detailed alongside the release of Wickes' full-year results for the period ending December 27. The figures revealed a 14.4% increase in underlying pre-tax profits, reaching £49.9 million, driven by a 5.9% rise in sales. Statutory pre-tax profits more than doubled, soaring to £48.7 million from £23.2 million the previous year.
David Wood, Chief Executive of Wickes, commented on the strategic decision: "Given the strength of investment returns from our proven store refit and new store rollout strategy, we have today announced the decision to accelerate our investment for future growth. This takes our ambition to reach 300 stores nationwide – creating over 2,000 new jobs as we bring Wickes' distinctive offer to new locations up and down the UK."
Recent Store Activity and Market Conditions
Last year, Wickes opened five new stores, four of which were formerly Homebase locations, while closing three, refitting two sites, and refreshing nine others. However, the company noted a slowdown in fourth-quarter comparable store sales growth to 4.7%, the lowest since the start of the previous year, down from 5.9% in the preceding three months.
Early trading in the new financial year has seen demand for outdoor DIY products affected by unusually wet weather. Despite this, Wickes reported ongoing volume increases in sales for indoor projects and its design and installation business, highlighting the diversified nature of its operations.
Future Outlook and Shareholder Returns
Wickes remains optimistic about its prospects, stating: "Continued investment in our proven growth levers positions us well for 2026, notwithstanding the uncertain consumer and geopolitical environment." The company confirmed it is on track to meet full-year expectations, with underlying pre-tax profits projected to rise to £57.6 million in 2026.
In a move to return value to shareholders, the group also announced a £10 million share buyback programme. This announcement was well-received by the market, with Wickes' shares rising 4% in Tuesday morning trading following the release of the expansion plans and financial results.
