The slowdown in consumer spending eroded sales last year

The company has struggled with a sales downturn in its Wickes division, which it bought in 2004, prompting a profits warning late last year.

Despite a 7.9% fall in like-for-like sales at Wickes, pre-tax profits inched ahead by �200,000 to �206.7m ($359.1m).

Travis said it had made a satisfactory start to the new year.

However, it stressed that a profits recovery was more likely to show through in the second half.

Improving trends in the housing market and the shutdown of some rival DIY stores would have a positive impact on sales figures, the company said.

"Although 2005 has been more challenging than recent years, our businesses have performed well against sector peers and the group has made good progress, both strategically and operationally," said chief executive Geoff Cooper.