// Kingfisher posts a year-on-year drop in third quarter like-for-like sales
// The group now expects full year adjusted pre-tax profit to be towards the higher end of its previously guided range of between £910m & £950m
DIY retail group Kingfisher has posted a year-on-year drop in third quarter like-for-like sales as consumer spending balances returned to more normal post-pandemic.
The parent company of B&Q and Screwfix said like-for-like sales in the UK and Ireland were 3.5 per cent down on the same period last year, but up 15.7 per cent on a two year basis before the pandemic began.
B&Q sales declined by 5.6 per cent year-on-year, but were up 17.1 per cent on two years ago, reflecting resilient demand against the backdrop of very strong prior year comparatives.
Meanwhile, like-for-like sales at Screwfix were up 0.2 per cent on a one year basis and up 13 per cent on a two-year basis.
Kingfisher chief executive Thierry Garnier said: “Kingfisher has delivered another successful quarter, with two-year like-for-like sales growth of 15% and strong growth across both retail and trade channels, and across all categories.
“These are even stronger sales trends given the backdrop of an increasingly ‘normalised’ consumer spending environment. Demand remains supported by what we believe are enduring new industry trends, including more working from home.”
In France, where Kingfisher operates the Brico Dépôt and Castorama businesses, like-for-likes declined by 4.3 per cent on a year ago but increased by 14.1 per cent on the same period in 2019.
Kingfisher said it has made a good start to its fourth quarter with like-for-like sales to 13 November up 13.2 per cent on a two-year basis and up 0.4 % on a one-year basis.
Looking ahead, the retailer now expects full year adjusted pre-tax profir to be at the top end of the £910 million to £950 million range currently projected.
Garnier added: “We have entered our final quarter with positive momentum and now expect sales and profits to be towards the higher end of our previously guided ranges.
“Overall, with strong execution and supportive new long-term trends for our industry, we remain confident of continued outperformance of our markets.”