1st Apr 2020 14:35
(Alliance News) - B&M European Value Retail SA on Wednesday said it will close some stores but they only make up a small part of revenue and earnings.
The retailer said its B&M UK and Heron Foods businesses have continued to trade despite the UK lockdown due to the Covid-19 crise, given they sell items such as food, cleaning, and healthcare products.
B&M traded from 656 stores in the UK as of March 29 and Heron Foods another 293.
However, the company has now decided to close temporarily 49 B&M UK stores due to the trading conditions affecting those stores, which B&M said are typically small format and often in sites such as shopping centres that have largely closed down.
All of Heron Foods continues to trade, B&M noted. All stores in France under Babou and B&M brands continue to trade.
The stores closed represent 3% of 2020 revenue and 2% of store contribution to earnings before interest, tax, depreciation and amortisation.
Shares were 3.6% lower on Wednesday afternoon in London at 265.90 pence each.
By George Collard; [email protected]
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