International DIY News
Kingfisher Q3: Strong Performance In Europe
Kingfisher plc ('Company', 'Group' or 'Kingfisher') is today providing its Q3 22/23 sales [for the quarter ended 31st October 2022].
Kingfisher UK and Ireland results available here.
Key points
- Third quarter sales of £3.3bn; total sales +1.7% in constant currency and LFL +0.2%
- Sales significantly ahead of pre-pandemic performance (3-year LFL +15.3%), supported by continued market share gains
- Good start to trading in the fourth quarter with 3-year LFL +16.2% and LFL +2.8% for the three weeks to 19 November 2022
- Strong energy efficiency product demand supporting DIY sales
- Trade customers continuing to see robust pipelines; strong TradePoint performance (LFL +1.9% and 3-year LFL +29.5%), and Screwfix gaining significant market share in the UK
- Opened first two Screwfix stores in France; meaningful step-up in store roll-outs planned for 2023
- Strong omni-channel engagement with e-commerce sales 3-year growth of +138% (YoY growth of +2.3%); representing 16% of Group sales (Q3 19/20: 8%). Continued growth of B&Q marketplace in Q3, and successful marketplace launches in Spain and Portugal
- Continuing to deliver value to customers whilst managing inflation pressures effectively
- Good product availability and effective supply chain management
- Anticipate FY 22/23 adjusted pre-tax profit in the range of c.£730m to £760m(1)
Unaudited Q3 22/23 sales (three months ended 31 October 2022)
| Sales 2022/23 | % Total Change | % Total Change | % LFL Change(2) | % 3-year LFL Change(3) |
| £m | Reported | Constant currency | Constant currency | Constant currency |
UK & Ireland | 1,545 | +0.1% | +0.1% | (2.3)% | +12.9% |
- B&Q | 935 | (2.8)% | (2.7)% | (3.5)% | +13.1% |
- Screwfix | 610 | +4.8% | +4.9% | (0.5)% | +12.4% |
France | 1,097 | (1.2)% | +0.6% | +0.5% | +14.6% |
- Castorama | 564 | (0.9)% | +0.8% | +0.8% | +16.6% |
- Brico Dépôt | 533 | (1.5)% | +0.2% | +0.2% | +12.7% |
Other International | 621 | +5.1% | +8.4% | +6.7% | +23.1% |
- Poland | 447 | +6.6% | +10.5% | +7.6% | +21.3% |
- Iberia(4) | 91 | +1.6% | +3.4% | +3.4% | +19.8% |
- Romania | 80 | +2.3% | +4.2% | +4.2% | +34.6% |
- Other(5) | 3 | n/a | n/a | n/a | n/a |
Total Group | 3,263 | +0.6% | +1.7% | +0.2% | +15.3% |
Q3 trading highlights
FRANCE
Total sales +0.6% (LFL +0.5%; 3-year LFL +14.6%). The home improvement industry in France was adversely impacted by abnormally warmer weather in October, as well as strikes across petrol stations in France affecting customer footfall.
Castorama sales +0.8%. LFL +0.8% (3-year LFL +16.6%), reflecting resilient sales from both DIY and DIFM/trade customers. Most categories saw good 3-year growth, with sales from the building & joinery and EPHC categories particularly strong YoY, and with the latter seeing robust growth in heating products and more energy-efficient solutions.
LFL sales of weather-related categories were +2.9% (+30.8% on a 3-year LFL basis). LFL sales of non-weather-related categories were flat (+13.2% on a 3-year LFL basis).
Brico Dépôt sales +0.2%. LFL +0.2% (3-year LFL +12.7%), reflecting resilient sales and YoY growth from most categories. The business achieved strong YoY and 3-year growth across EPHC and building & joinery through an impressive performance in insulation sales.
Brico Dépôt continues to drive increased customer engagement and improved price perception, as the business focuses on further strengthening its discounter credentials and differentiating its ranges.
OTHER INTERNATIONAL
Poland sales +10.5%. LFL +7.6% (3-year LFL +21.3%), supported by strong market share gains. Positive LFL and strong 3-year performance across all categories, with exceptional growth in the kitchen category supported by the development of our new ranges and customer journey.
LFL sales of weather-related categories were +21.7% (+45.3% on a 3-year LFL basis). LFL sales of non-weather-related categories were +5.2% (+17.7% on a 3-year LFL basis).
A further two new stores opened in Poland in Q3, with five new stores opened in the year to date.
Iberia sales +3.4%. LFL +3.4% (3-year LFL +19.8%), supported by strong growth in seasonal categories, especially in outdoor and EPHC given the extended heatwave across August.
Good 3-year performance in the building & joinery, outdoor and EPHC categories.
Romania sales +4.2%. LFL +4.2% (3-year LFL +34.6%), reflecting robust sales across most categories with notable strength in kitchens and surfaces & décor.
Source : Kingfisher
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