B&M is taking steps to improve its performance after a period of falling sales in its existing UK stores continued into its fourth quarter.
Group revenues in the 52 weeks to 29 March were up 3.7% to £5.6bn.
However, at B&M UK, which accounts for 80% of group revenue, like-for-like sales were down 3.1%.
B&M UK quarter four like-for-like sales in the 12 weeks to 22 March – adjusted from 13 weeks to account for Easter falling in the final week of the previous financial year – were down 1.8%.
B&M UK general merchandise sales were up in quarter four on a like-for-like basis, with garden, toys, paint and stationery categories underpinning the performance, according to the trading update.
However, like-for-like sales in fmcg were down. B&M said actions were underway to improve the performance.
B&M UK opened 45 new stores in the year, in line with previous guidance. The company said these were performing in line with expectations and generating strong returns, with total B&M UK sales up 3.8% in the 52 weeks.
At Heron Foods, the group’s frozen food chain, revenues were down 0.6% to £546m in the 52 weeks, despite 14 new stores opening.
The update said full-year adjusted EBITDA was expected to be above the midpoint of its £605m-£625m guidance range
It said the board was making progress in its search for a successor to Alex Russo, who retired as group CEO in February, at the same time as the company adjusted its guidance down from £620m-£650m in its second profit warning of 2025.
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