Floorcoverings distributor Headlam has reported a decline in sales as market conditions continue to be challenging.

According to its latest trading update for the four months ended 31 October 2025, sales fell 5% as it continued to “experience challenging market dynamics and execution during the period”.

Commenting, Headlam added: “This performance is below our expectations outlined at the interim results in September 2025, and therefore the Board expects full year performance to be below expectations.

“In response, the Board has already initiated a comprehensive programme of restructuring, cost reduction and operational improvements and is accelerating the implementation of these measures.

“These actions are designed to return the Group to profitability and strengthen its market position, even if market conditions remain subdued. The Group also remains focused on strengthening the financial position including potential further property disposals.

“The Board is confident that these measures, combined with the Group’s market position and established relationships with suppliers and customers, provides a platform for a return to sustainable profitability and growth.”