Travis Perkins: New CEO named after torrid year and FTSE 250 shares slump
The man chosen to lead an almighty rebuilding project at construction supplies giant Travis Perkins has been named.
Gavin Slark has been picked as the Northamptonshire-headquartered company’s new chief executive and is set to take up his role no later than 1 January, 2026.
Slark has held the same position at SIG since 2023 and has previously led Grafton Group and The BSS Group before tis acquisition by the company he has now been tapped to turn around.
He will succeed Pete Redfern who stepped down in March due to ill health.
In a statement issued to the London Stock Exchange, Travis Perkins chair Geoff Drabble said: “The board and I are delighted that Gavin has agreed to join us.
“We are all very much looking forward to working with him. Gavin brings with him unrivalled experience of the sector in addition to a long pedigree as a CEO of significant public companies.
“Gavin is well placed to continue the work we have started to refocus and change the way we operate in order to better serve our customers and work effectively with our suppliers, as well as engage and motivate our teams.”
CEO tasked with turning around Travis Perkins
One of the first things in the new CEO’s in-tray will be to lead Travis Perkins’ financial recovery.
The FTSE 250 group reported a 99 per cent plunge in its operating profit in 2024 while its revenue also fell by almost five per cent.
Bleak results for the firm were put down to “lower trading volumes and price deflation”, in spite of “significantly improved cost discipline.”
However, the firm highlighted the robust performance of its Toolstation business – which reported a 48 per cent surge in adjusted operating profit.
In 2024, Travis Perkins shuttered Toolstation France as part of a broader effort to trim costs and refocus core business lines.
Investors will also have a keen eye on the group’s share price which has been a losing run since towards the end of 2024.
Shares in Travis Perkins were changing hands for 931p in October last year but have been on the slide since – falling to a low of 494p last month.
However they have recently enjoyed a mini revival and are now priced at 614p.
That recent increased was fuelled by the news at the start of May that the group had sold its specialist floor kit, i-joist and staircase manufacturer Staircraft to Gait Consulting, which is majority owned by the founder of Staircraft, for £24m.
Shares in the group have risen by more than five per cent following the news that a new chief executive has been appointed.
But even despite the recent uptick in its share price, Travis Perkins’ stock is down significantly from the 1,784p price it commanded in the summer of 2021.