The latest figures from the Plumbing & Heating Merchant Index (PHMI) report show that the total value of sales for January 2023 by plumbing and heating retailers was +13.4% higher than in January last year. Price inflation increased by +11.6% over the same period, while volumes increased by only +1.7%.
With one more trading day in January 2023, like-for-like sales increased by +8.0%.
Sales in January by value were +22.3% higher month-on-month than in December 2022. Volume sales increased significantly (+31.9%), while prices decreased (-7.2%). With five additional trading days in January, like-for-like sales were down -6.8%.
Total sales in the last three months, November 2022 to January 2023, were +11.7% higher than the same period last year. Sales volumes fell by -0.3% and prices by +12.0%. There was no difference in trading days.
In the last 12 months (February 2022 to January 2023), the sales value of plumbing and heating dealers was +8.6% above the previous twelve months of the previous year (February 2021 to January 2022). Volumes fell slightly (-1.2%) but prices increased by +10.0%. With two fewer trading days in the last period, like-for-like sales increased by +9.5%.
The PHMI index for January was 108.2.
Mike Rigby, CEO of MRA Research, which compiles the report, comments: “Twenty-three has started similar to 2022 for plumbing and heating installers, with PHMI data showing this is largely led by price inflation going forward.
“The biggest opportunity to increase volumes this year must come from products that save energy and water. In the short term, we see savings homeowners upgrading their properties to reduce monthly expenses while energy bills are high, but there’s a bigger picture here. Last year’s building code updates – largely seen as an interim stepping stone to the more stringent Future Homes Standard that will come into force in 2025 – highlight the need as an industry to modernize and create homes that use less energy, water and… consume resources.
“Stocking and promoting products that meet higher efficiency standards and actively reselling those products to customers will increase dealers’ margins, but also ensure that products being fitted into new homes or retrofitted into existing properties are future-proof and.” can really move the indicator of sustainability. The days of talking about low-carbon homes are over. Now is the time for us all to harness our wagons to create a more sustainable, greener and more profitable future for all.”
The Plumbing & Heating Merchant Index (PHMI) is the first to analyze point-of-sale data collected from specialist plumbing and heating merchants with a combined annual turnover of £3bn to show their month-to-month performance .
Based on data from the GfK Plumbing & Heating Industry Dealer Panel, which represents over 70% of the market by value, the report provides reliable data and a platform and voice for the industry and leading plumbing & heating brands. It is created by MRA Research for the Builders Merchants Federation. There is no overlap or double counting between PHMI and Builders Merchants Building Index (BMBI) sales data.
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https://buildersmerchantsjournal.net/plumbing-heating-merchants-see-double-digit-year-on-year-growth-driven-mainly-by-inflation/
