Pre-Close Sales Update
Kingfisher PLC
26 July 2007
EMBARGOED UNTIL 0700 HOURS
Thursday 26 July 2007
Kingfisher plc
Unaudited pre-close sales update to 14 July 2007
10 weeks to 14 July 2007 23 weeks to 14 July 2007
Retail Sales (1) % Total Change % LFL % Total % LFL
Change Change Change
UK (2) -0.7 -1.5 6.8 2.3
France 9.9 2.7 10.4 3.9
Rest of Europe (3) 26.2 14.4 31.5 18.0
Asia (4) 16.9 9.9 13.0 4.4
International 14.0 6.0 15.0 7.0
Total 7.2 2.6 11.0 4.7
(1) All figures are on a constant currency basis. Joint Venture and
Associate sales are not consolidated. Data is provided for the 10 weeks to 14
July 2007, with the exception of Russia and China which are reported for the 13
weeks to 30 June 2007.
(2) B&Q, Screwfix and Trade Depot.
(3) Poland, Italy, Spain, Ireland and Russia.
(4) China.
• 10 week total sales up 7.2%, +2.6% on a like for like (LFL) basis
• Year to date total sales up 11.0%, +4.7% LFL
• International (ex-UK), now 53% of Kingfisher sales, growth continues,
+15.0%
• UK market continues to be weak and affected by poor weather
• B&Q progressing well with development programme
Commenting on the year to date, Gerry Murphy, Group Chief Executive, said:
'Our international businesses, which now account for more than half of
Kingfisher's sales, continued to perform well, with sales up 15.0%. Forty-eight
new stores have been opened so far this year, taking the total to 760 in 10
countries.
'In the UK all our businesses delivered sales growth despite the market
continuing to be weak and promotional. Abnormal weather patterns boosted sales
in the first quarter but were very unhelpful in the second. B&Q is making good
progress modernising its stores and updating its ranges.'
All figures and comments below refer to the 10 weeks to 14 July (1)
UK
B&Q total sales fell 3.6% (-2.3% LFL) in a weak market. Sales of outdoor
products were sharply down reflecting the poor weather and the pull-forward of
sales into an unseasonably warm Q1. Sales of weather-affected categories were up
over 20% in Q1 but down nearly 20% in the 10 weeks to 14 July. Sales of other
products were generally solid although kitchen and bathroom sales still rely on
promotional stimulus. Gross margin percentage is expected to be broadly flat
compared to the same period last year. Kingfisher's UK trade businesses,
Screwfix and Trade Depot, delivered strong sales growth of 37.8% overall.
FRANCE
Sales grew 9.9% (+2.7% LFL) in a firm market, supported by new store openings.
New decorative ranges, kitchens and bathrooms performed well although this was
partly offset by weaker sales of weather-affected outdoor products and
air-conditioning. Castorama sales grew 4.5% (+3.5% LFL, +5.0% comparable store
basis) and Brico Depot sales were ahead 15.3% (+2.1% LFL).
REST OF EUROPE AND ASIA
Sales in other international markets grew strongly, up 22.8% (+12.8% LFL) with
18 new stores trading compared with the same quarter last year. Castorama in
Poland delivered strong sales growth of 34.9% (+25.4% LFL) in a buoyant market.
Sales for Castorama Italy declined 1.5% (-1.7% LFL) in a weaker consumer market
and affected by poor weather, especially in the north. B&Q China grew 16.9%
(+9.9% LFL), reflecting seasonal factors and the timing of promotions.
Kingfisher plc will announce its interim results for the 6 months to 4 August
2007 on 20 September 2007.
Enquiries:
Ian Harding, Group Communications Director 020 7644 1029
Nigel Cope, Head of Communications 020 7644 1030
Sarah Gerrand, Head of Investor Relations 020 7644 1032
Kingfisher plc is Europe's leading home improvement retail group and the third
largest in the world, with 760 stores in 10 countries in Europe and Asia. Its
main retail brands are B&Q, Castorama and Brico Depot. Kingfisher also has a
21% interest in, and strategic alliance with, Hornbach, Germany's leading DIY
Warehouse retailer, with over 120 stores in Germany and eight other European
countries.
Further copies of this announcement are available at www.kingfisher.com or by
application to: The Company Secretary, Kingfisher plc, 3 Sheldon Square, London,
W2 6PX.
This information is provided by RNS
The company news service from the London Stock Exchange