Kingfisher interim results announcement

Kingfisher plc announced its Interim results for the half year ended 28 July 2012 this morning, 12 September 2012, at 7.00am (BST), reporting half year sales down 3.3%, up 1% in constant currencies, adjusted pre-tax profits down 15.5% to £371 million.

Highlights (in constant currencies):

Results significantly impacted by £25 million adverse foreign exchange movements when translating euro and zloty overseas profits into sterling for reporting purposes.

Over £30 million less profit from record wet weather in the UK and Northern Europe, significantly impacting footfall.

Seasonal product sales were down 7% resulting in higher seasonal markdowns to clear excess seasonal stocks and additional marketing to drive footfall and share.

Around £10 million cost of accelerating the national roll out of new common own brands in the UK.

On-going self-help initiatives, including higher direct sourcing, helped limit the overall profit decline
.
Free cash flow generation up year on year, ending H1 with £29 million net cash.

‘Creating the Leader’ programme well underway, 2012/13 milestone delivery on track.

£5 million net exceptional charge post tax, primarily relating to streamlining support offices offset by the closure of the final salary pension scheme to future accrual in the UK.

Interim dividend up 25.1%, calculated automatically as 35% of the prior year’s total dividend in line with stated policy.

Source: Kingfisher plc