Travis Perkins announces new CEO in response to challenging year and decline in FTSE 250 stock prices
** scoring a fresh lead** at construction supplies titan Travis Perkins, a new boss has been announced. Gavin Slark, currently holding the same position at SIG since 2023, has been tapped as the Northamptonshire-based company's next leader and will assume the role no later than 1st January, 2026.
Slark boasts a lengthy resumé, including stints as CEO at Grafton Group and The BSS Group before these companies were acquired by Travis Perkins. With his previous experience and expertise, he's been tasked with turning around the ailing corporation.
Slack will step into the shoes of Pete Redfern, who had to step down in March due to health issues.
In a statement to the London Stock Exchange, Geoff Drabble, Travis Perkins' chair, expressed delight at Slark's joining and expressed confidence in his abilities. They are looking forward to working closely with the seasoned executive, whose unrivaled industry experience and long pedigree as a CEO of substantial public companies will aid the company's ongoing transformation.
One of the initial tasks Slark will face is to spearhead Travis Perkins' financial recovery. In 2024, the FTSE 250 group reported a shocking 99% drop in its operating profit and a nearly 5% dip in revenue. The dismal results were attributed to reduced trading volumes and price deflation, despite improved cost discipline. However, the company highlighted the impressive performance of its Toolstation business - which saw a 48% surge in adjusted operating profit.
Investors will keep a close eye on Travis Perkins' share price, which has been on a steady decline since October 2024, bottoming out at 494p last month. However, recent news of the appointment of a new CEO has sparked a mini-revival in shares, which are currently priced at 614p.
The recent uptick in the share price was driven by the news in May that Travis Perkins had sold its specialist floor kit, i-joist, and staircase manufacturer Staircraft to Gait Consulting, majority-owned by Staircraft's founder, for £24m. Despite this positive news, Travis Perkins' stock remains a far cry from the 1,784p it commanded in the summer of 2021.
Slack faces a daunting task ahead, but with his proven leadership skills and extensive experience, investors and analysts alike are hopeful that he can lead Travis Perkins toward a brighter future.
- Gavin Slark, who will succeed Pete Redfern as the leader of Travis Perkins in 2026, has a rich background in the industry, having served as CEO at Grafton Group and The BSS Group before they were acquired by Travis Perkins.
- With Slark's appointment, Travis Perkins expects a turnaround of its ailing corporation, given his extensive expertise and unrivaled industry experience.
- In 2024, Travis Perkins reported a significant drop in its operating profit and revenue, largely due to reduced trading volumes and price deflation.
- Investors are closely watching the share price of Travis Perkins, which has seen a steady decline since October 2024, with the appointment of Gavin Slark as CEO sparking a mini-revival, currently priced at 614p.
