Annual profits

Kingfisher PLC sees annual profits hammered but sales pick up after coronavirus lockdown eases

“While the coronavirus crisis has obviously shifted our immediate priorities, we have continued to plan for the longer term and implement our new strategic plan,” said CEO Thierry Garnier.

Kingfisher PLC (LON: KGF) reported a 66% collapse in annual profits, but said it had seen strong sales in recent weeks after the coronavirus lockdown eased as the DIY retailer tries new solutions to its long standing problems.

The owner of chains B&Q and Screwfix said the group’s like-for-like sales fell 24.8% in the first quarter from February 1, 2020 to April, but rose 21.8% so far from early May to June 13, 2020..

Online sales have quadrupled since mid-March, while the gradual reopening of stores took place in the UK and France from mid-April, and it recorded sales improve since.

It comes after its results for the year at the end of January 2020, showed sales fell 1.5% to £ 11.5bn, profit before tax fell to £ 103m from £ 300 million pounds sterling the previous year and no final dividend.

As of June 12, the group said it has access to more than £ 3bn in cash, of which around £ 2bn is in the bank.

Kingfisher CEO Thierry Garnier, who started a year ago, has, like his many predecessors, unveiled a new strategic plan, titled “Powered by Kingfisher” and said to be focused on “distinct retail chains. meeting the various needs of customers “,” by the group “.

In the statement of results, Garnier said: “While the coronavirus crisis has obviously changed our immediate priorities, we have continued to plan for the longer term and to implement our new strategic plan. “

He added: “Our clear intention is to become a more digital and service-oriented company, using our strong in-store assets as a platform. “

Kingfisher stock rose 5% to 214.5p at the start of trading on Wednesday and is only down 3.5% year-to-date.

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