Retailer reports strong sales increase and raises earnings guidance
- B&M European Value Retail lifts fiscal 2024 guidance
- Expects adjusted earnings before interest, taxes, depreciation and amortization to be between £620m and £630m
- Pretax profit increases to £222m for six months ended Sept. 23
- Interim dividend declared at 5.1 pence per share
- B&M U.K. sales growth in the first six weeks of the golden quarter is 1.6%
- Plans to open at least 125 new B&M stores in the U.K. over the next three years
B&M European Value Retail has raised its fiscal 2024 guidance following better-than-expected sales growth. The company now expects adjusted earnings before interest, taxes, depreciation and amortization to be between £620m and £630m, higher than the previous estimate of surpassing last year’s figure of £573m. However, B&M warns that the outlook remains uncertain due to current market volatility. The retailer reported a pretax profit increase to £222m for the six months ended Sept. 23, compared to £201m in the same period last year. Revenue also rose to £2.55bn from £2.31bn. B&M U.K. sales growth in the first six weeks of the golden quarter, the most profitable period for retailers, was 1.6%. Looking ahead, B&M plans to open at least 125 new stores in the U.K. over the next three years, which is expected to contribute to a 20% increase in sales area.
Factuality Level: 8
Factuality Justification: The article provides specific information about B&M European Value Retail’s fiscal 2024 guidance, adjusted earnings, pretax profit, revenue, and dividend. It also mentions the company’s focus on low prices, cost control, simplicity, and profitable growth. The article includes a statement from the company about its sales growth during the golden quarter and its plans to open new stores. The information provided is specific and verifiable, without any obvious bias or misleading information.
Noise Level: 6
Noise Justification: The article provides information on B&M European Value Retail’s fiscal 2024 guidance and financial performance. It mentions the company’s increase in adjusted earnings and profit, as well as its plans for store expansion. However, the article lacks in-depth analysis or insights into the company’s strategies, market conditions, or potential risks. It also does not provide evidence or data to support its claims. Overall, the article contains relevant information but lacks depth and analysis, resulting in a moderate noise level.
Financial Relevance: Yes
Financial Markets Impacted: B&M European Value Retail
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Rating Justification: The article pertains to the financial performance and guidance of B&M European Value Retail, a convenience retailer. There is no mention of an extreme event or any impact on financial markets or companies.
Public Companies: B&M European Value Retail (BME)
Private Companies: Wilko
Key People: Michael Susin (Author)
Reported publicly:
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