8th Jul 2021 08:07
(Alliance News) - B&M European Value Retail SA on Thursday said it expects a first quarter revenue climb, though at a slower rate than the bumper growth the variety goods value retailer saw in its last financial year.
Revenue in the 13 weeks to June 26 is tipped to rise 2.9% annually to GBP1.19 billion, from GBP1.15 billion, or 3.1% at constant currency. Constant currency revenue growth in the first quarter of the last financial year was 28%, highlighting just how much demand at B&M was boosted by Covid-19 lockdowns.
In its core B&M UK arm, like-for-like revenue was 4.4% lower annually, following a 27% surge a year earlier. On a two-year basis, it was up 21%.
"The group has made a strong start to the new financial year and sales remain significantly above pre-pandemic levels. As expected, trading throughout the first quarter was volatile as we annualised against the high comparatives from last year," Chief Executive Simon Arora said.
"Although there remains much uncertainty as to how consumer spending evolves over the coming months, we remain optimistic that our combination of exceptional value across a wide range of product categories and our convenient Out of Town locations will continue to resonate with customers."
B&M said it is too soon to accurately predict its annual earnings outcome, though added it is "on track" with its full year plans and tips its core UK arm to post "strong" like-for-like sales on a two-year basis.
B&M shares were 2.9% lower at 560.60 pence each in early dealings in London on Thursday.
By Eric Cunha; [email protected]
Copyright 2021 Alliance News Limited. All Rights Reserved.
Related Shares:
B&M