James Latham (AIM:LTHM), the timber and panel products distributor, grew revenue 7.2% to £393m in the full year to 31 March, up from £366.6m a year earlier, as like-for-like volumes rose 7.7% after adjusting for working days.
Gross margin narrowed slightly to 16.5% from 16.8%, as a more competitive environment and a higher mix of lower-margin timber pack business through its LDT operation weighed on the blended rate, though overheads were well controlled.
Cash and cash equivalents stood at £51.2m at the year end, down from £65.5m, with the reduction partly reflecting increased inventory of £72.9m against £65.7m previously, as the company builds stock ahead of its National Distribution Centre investment.
Net assets rose to £232.3m from £220.5m.
"The momentum that we saw in the final quarter of this financial year has carried on into the current financial year, with a slight improvement in the margin and also the volume per working day," said chairman Nick Latham.
He flagged significant price increases from suppliers linked to higher energy and freight costs following a Middle East conflict that began in February 2026, noting supply disruption is not yet a problem but could become one if passage through the Strait of Hormuz remains constrained.
The National Distribution Centre remains the company's stated priority and is on track to be fully operational by the end of 2027.
