Discount retailer’s revenues and profits soaring
Liverpool-headquartered B&M European Value Retail has increased its revenues by 19% to more than £2.74bn.
In the year to March 25, profit before tax also rose by 18.4% to £182.9m.
During the period, 53 new stores opened in the UK, including nine relocations to large, modern Homestores, and 19 new stores in Germany.
B&M also reports a strong pipeline of 40 to 50 new stores planned in the UK and a further 15 in Germany this financial year.
It has also revised UK store target from 850 to at least 950 stores.
There was strong operating cashflow of £210.9m (2016: £170.9m) and year-end net debt of £401.9m.
B&M recommended a final dividend of 3.9p per share to be paid on August 4, bringing the full year ordinary dividend increase to 20.8%.
Chairman Sir Terry Leahy, Chairman, said: “B&M has delivered further strong increases in sales, profits and cash generation whilst pushing on with rapid store expansion in line with our strategy for growth.
“There was a robust return of trading momentum during the second half which has continued into the early weeks of the new financial year, affirming that B&M’s offer resonates well with customers during a period of economic uncertainty and profound structural change in retailing.”
Chief executive Simon Arora said: “”B&M has never been in better shape. The skill, hard work and commitment of our people have driven our powerful return to trading form; building greater stability and consistency into our operations, keeping our costs down, delivering an even more competitive, compelling offering across our ranges week-in, week-out, especially in our seasonal peak periods and importantly, helping our customers spend less at a time when general retail prices have started to rise.”
