16 July 2024
Well-positioned as we exit
the Spring/Summer season
B&M European Value Retail S.A.
("the Group"), the UK's leading variety
goods discount retailer, today provides a
trading update for the first quarter ("Q1") of its current
financial year ("FY25"), relating to the 13 week period from 31
March 2024 to 29 June 2024.
Highlights
|
Revenue
performance
|
£m
|
%
|
|
B&M
UK1
|
£1,080m
|
1.5%
|
|
B&M
France*
|
£126m
|
7.5%
|
|
Heron
Foods
|
£139m
|
2.7%
|
|
Group revenues and growth
(constant FX rates2)
|
£1,345m
|
2.4%
|
*B&M France revenue growth
was 9.6% in local currency
|
·
|
Group revenues2 increased
2.4%, driven by volume and a disciplined store opening programme
across the three businesses
|
|
·
|
Strong, profitable progress made on
the B&M UK store openings, with 19 gross stores opened in Q1,
on track for 45 gross new store openings in the year. All stores
opened since last year are performing ahead of
expectations
|
|
·
|
France added 2 new stores in Q1 and
remain on track for 11 new stores this year
|
|
·
|
B&M UK like-for-like
("LFL")3 of (3.5)%, excluding the Easter YoY timing
impact of (1.6)% in Q1. This is against exceptionally strong
comparatives of +9.2% in Q1 of last year and unseasonal weather in
April and May this year
|
|
·
|
Well-planned seasonal stock buy,
particularly in Gardening, has delivered high sell-through in the
quarter with no markdown risk in Spring/Summer. B&M UK Q1 gross
margin performance has been strong and in line with
expectations
|
|
·
|
The three businesses are well set up
commercially and operationally into Q2. Availability is very
strong, product ranges and price points in general merchandise are
market leading
|
|
·
|
Our logistics capacity across the UK
and France continues to support volume growth well. Our network
configuration in the UK has been strengthened in the last two years
with additional capacity in France already underway
|
|
·
|
Continue to expect profitable cash
generating growth across the full financial year, underpinned by
the Group's strong fundamentals and normalising
comparatives
|
|
·
|
Half year financial results for the
26 weeks to 28 September 2024 will be published on 14 November 2024
when we will provide full year narrow guidance as normal
|
Alex Russo, Chief Executive, said:
"The growth
fundamentals of our business are strong, with a highly
disciplined approach on pricing, product and high operational
standards. We continue to offer our customers exceptional value at
a time when household incomes are under pressure. Ahead of Q2,
we have
launched our Everyday Value range with more than
500 new
lines in core categories across home, electrical
and pet in the UK and France. As we transition towards
Autumn/Winter in the months ahead, our relentless focus on Everyday
Low Price and Everyday Low Cost will ensure we continue to serve
our customers well.
Notes:
1.
References in this announcement to the B&M business include the
B&M fascia stores in the UK except for the 'B&M Express'
fascia stores. References in this announcement to the Heron Foods
business include both the Heron Foods fascia and B&M Express
fascia convenience stores in the UK.
2. Constant
currency comparison involves restating the prior year Euro revenues
using the same exchange rate as that used to translate the current
year Euro revenues.
3. B&M
UK Q1 like-for-like sales of (5.1)% does not include the timing
effect of Easter which occurred at the end of FY24. Incorporating
the timing effect of Easter (week 52 and week 53), B&M UK
like-for-like sales over the 15-weeks to 29 June 2024 was
(3.5)%.
Conference
call
A call for investors and analysts
will be held today at 09:00 (BST). Investors and analysts should
register for the call using the following link:
https://register.vevent.com/register/BI1ee9cb5853164e2b8635646c03c9a752
A further call for North American investors only
is scheduled today at 16:00 (BST). To register please contact Dave
McCarthy via email at dave.mccarthy@bmstores.co.uk
Supplemental
information
We report sales on a 13-week and
52-week retail calendar - which uses 364 days in a year. A
53rd week was added to our reporting calendar in FY24.
The additional week only affects comparability of performance in
our statutory sales reporting, as shown below.
|
(Period end
dates)
|
FY25 statutory reporting
periods (13-weeks unless indicated)
|
|
|
Q1
|
Q2
|
Q3
|
Q4
|
|
FY25
|
29/06/2024
|
28/09/2024
|
28/12/2024
|
29/03/2025
|
|
FY24
|
24/06/2023
|
23/09/2023
|
23/12/2023
|
30/03/2024*
|
|
|
|
|
|
|
|
|
FY25 LFL reporting periods
(13-weeks)
|
|
|
Q1
|
Q2
|
Q3
|
Q4
|
|
FY25
|
29/06/2024
|
28/09/2024
|
28/12/2024
|
29/03/2025
|
|
FY24
|
01/07/2023
|
30/09/2023
|
30/12/2023
|
30/03/2024
|
*Q4 in FY24 was a 14-week
period.
Enquiries
For further information please
contact: +44 (0) 151 728 5400 Ext. 6363
Alex Russo, Chief Executive
Officer
Mike Schmidt, Chief Financial
Officer
Dave McCarthy, Head of Investor
Relations
Investor.relations@bandmretail.com
Media
For media please contact:
Sam Cartwright, H-advisors,
sam.cartwright@h-advisors.global +44 (0) 7827 254
561
Jonathan Cook, H-advisors,
jonathan.cook@h-advisors.global
+44 (0) 7730 777 865
Disclaimer
This announcement contains
statements which are or may be deemed to be 'forward-looking
statements'. Forward-looking statements involve risks and
uncertainties because they relate to events and depend on events or
circumstances that may or may not occur in the future. All
forward-looking statements in this announcement reflect the
Company's present view with respect to future events as at the date
of this announcement. Forward-looking statements are not guarantees
of future performance and actual results in future periods may and
often do differ materially from those expressed in forward-looking
statements. Except where required by law or the Listing Rules of
the UK Listing Authority, the Company undertakes no obligation to
release publicly the results of any revisions to any
forward-looking statements in this announcement that may occur due
to any change in its expectations or to reflect any events or
circumstances arising after the date of this
announcement.
About B&M European Value Retail S.A.
B&M European Value Retail S.A.
is a variety retailer with 755 stores in the UK operating under the
"B&M" brand, 335 stores under the "Heron Foods" and "B&M
Express" brands, and 126 stores in France also operating under the
"B&M" brand as at 29 June 2024. It was admitted to the FTSE 100
index on 21 September 2020.
The B&M Group was founded in
1978 and listed on the London Stock Exchange in June 2014. For more
information, please visit www.bandmretail.com