Kingfisher has raised its full-year profit guidance after the B&Q and Screwfix owner posted a near-10 per cent rise in first-half profits.
The company reported adjusted pre-tax profit of £404m for the six months to 31 July, up 9.9 per cent year on year.
Group sales edged up 0.8 per cent to £6.86bn, while like-for-like sales increased 0.3 per cent over the period.
Kingfisher said the profit improvement was supported by a 70-basis-point increase in gross margin, continued cost discipline and a £14m business rates refund.
The group, which also owns Castorama and Brico Dépôt in France, said Screwfix continued to take market share in the UK, while its businesses in Poland and Spain also made gains.
B&Q maintained its share of the UK market, while Castorama held its position in France. However, Brico Dépôt France was hit by heatwaves during the half.
Following the performance, Kingfisher has narrowed and upgraded its full-year adjusted pre-tax profit forecast to between £595m and £625m, compared with its previous guidance of £565m to £625m.
The new range would put profits ahead of the £560m delivered in its previous financial year.
Kingfisher chief executive Thierry Garnier said: “While the consumer environment remains mixed, our consistent delivery, strategic progress and opportunities ahead give us the confidence to upgrade our guidance.”
Kingfisher is also preparing for a change at the top. Garnier announced in May that he would leave the DIY giant after almost seven years as chief executive to take the helm at Dutch supermarket group Ahold Delhaize.
He remains subject to a 12-month notice period.
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