// B&M profits fall due to rising operational costs
// The value retailer posted a 17% drop in pre-tax profits to £436m in the year to 25 March 2023
B&M has posted a drop in full-year profits, despite sales edging up slightly, as the retailer battled with rising cost pressures.
Pre-tax profits for the value retailer fell 17% to £436m, down from £525m, in the year to 25 March 2023.
Group sales edged up 6.6% over the period to £4.98bn, which was 30.7% ahead of pre-pandemic levels.
Subscribe to Retail Gazette for free
Sign up here to get the latest news straight into your inbox each morning
UK revenue increased 4% year on year, with like-for-like sales up 8.3% in the first nine weeks of the new financial year.
Chief executive Alejandro Russo said the dip in profits were party due to “major economic headwinds and material cost pressures”, but that the retailer had “weathered the difficult environment well”.
“FY23 has been another year of strong underlying progress for B&M and the long-term future looks very positive,” he said.
“We are actively responding to the short-term pressure on consumers from the cost-of-living crisis, with a relentless focus on price and value.
“We expect to grow sales and profits in FY24, despite economic uncertainty.”
Click here to sign up to Retail Gazette‘s free daily email newsletter
