The executive chairman of the world's biggest floorcoverings business Mohawk Industries said its performance "fell short of our expectations" in the second quarter.


The Georgia, U.S headquartered group — which operates the full gamut of flooring types including carpet, laminate, vinyl and ceramic tile and has sizeable UK sales — recorded net income down 25 percent to $196.6m (£149m) for the three months to June, bringing its half-year profits to $405.4 million (£307m), 12 percent lower than last year.

"Our results were negatively impacted by input inflation, higher transportation costs, a stronger dollar and a tight labour market," said Jeffrey Lorderbaum, who added that the company was taking action such as raising prices and focusing on growing sales channels.

Mohawk's lower profits came despite higher sales, with net revenue up 5.1 percent to $2.58 billion (£1.95bn) for the second quarter and by 6.8 percent to $4.99 billion (£3.78bn) for the half. At constant currencies, sales were up 3 percent for both the quarter and the half.

* sterling conversions reported to nearest £m