Kingfisher raises profit guidance on strong margins and professional sales

Kingfisher, the parent company of B&Q and Screwfix, has raised its full-year adjusted pre-tax profit guidance to between £595 million and £635 million. This upgrade follows a solid first half where adjusted pre-tax profits rose 9.9% to £404 million, despite relatively flat underlying sales growth of 0.3%.

The profit growth was primarily driven by margin expansion, disciplined cost control, and a one-off £14 million business rates refund. While B&Q saw a decline in like-for-like sales in the UK and Ireland, Screwfix remained a standout performer with a 5.6% increase in like-for-like sales. Additionally, the group reported market share gains in Poland and Spain.

In Iberia, Brico Depôt recorded an 11% increase in sales and a 17% rise in profit for the first half of the fiscal year. This performance was heavily bolstered by the professional customer segment, which saw sales grow by 46%.

CEO Thierry Garnier noted that while the consumer environment remains mixed, strategic progress and opportunities provide confidence in the upgraded outlook. The company is also continuing its £300 million share buyback program.