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Kingfisher raises profit guidance as first-half results beat
Adjusted pretax profit rose 9.9% to £404 million in the six months to July, and the retailer now expects full-year adjusted pretax profit of £595 million to £635 million.
Kingfisher upgraded its full-year profit outlook after stronger-than-expected first-half performance, even as the broader DIY market remained uneven, according to Yahoo Finance. The home-improvement retailer said it lifted guidance despite a still-mixed consumer environment. For the six months to July, adjusted pretax profit increased 9.9% to £404 million, about $539 million, while statutory sales rose 0.8% to £6.86 billion. Underlying like-for-like sales edged up 0.3%. Screwfix, Kingfisher’s standout brand, drove much of the improvement, with like-for-like sales climbing 5.6%. Trade customers now make up 74% of Screwfix sales, and the company cited stronger volumes, higher trade spending, and continued market-share gains, partly offset by softer demand elsewhere in the group. Kingfisher also highlighted momentum in digital sales, including 60% e-commerce penetration at Screwfix and an 18% increase in app sales. The retailer raised its full-year adjusted pretax profit range to £595 million to £635 million, up from £565 million to £625 million, and increased free-cash-flow guidance to £480 million to £520 million from £450 million to £510 million.