Discounter B&M Sees Revenue Up By A Quarter In First Half
Discounter B&M European Value Retail has posted group revenue growth of 25.3% in the first half of its financial year, with its UK estate seeing revenue growth of 29.5%, or 23% on a like-for-like basis.
The group said that trading momentum continued into the second quarter, which saw 19.1% like-for-like growth, helped by the retailer's 'value-led, variety goods model and its convenient, easily-accessible, out-of-town locations'.
It said that profits also saw a boost, driven by increased average spend per visit.
"Our group has performed well in the first half," commented Simon Arora, B&M chief executive. "Our business model is proving well-attuned to the evolving needs of customers, given our combination of everyday value across a broad range of product categories being sold at convenient out-of-town locations."
The group's value convenience store chain, Heron Foods, saw 'positive like-for-like sales growth' in the period, as well as seeing six new new stores open.
In France, its Babou chain also posted like-for-like sales growth, as well as 'a small positive EBITDA outturn', despite being closed for six weeks due to COVID-19 restrictions.
The group opened nine new B&M fascia stores in the UK in the period, which was offset by eight closures, of mainly 'older, smaller stores', according to the group.
CEO Arora also used the announcement to praise the company's workforce, saying, "Our people have risen to the many challenges posed by the COVID-19 crisis, not least in serving our customers through a period of high demand, keeping our shelves filled, providing a clean and safe shopping environment, as well as sourcing higher volumes than we had planned. I thank them all for their commitment, hard work and resilience."
© 2020 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: The European Supermarket Magazine.