Company Cites Improving Trends and Strong Performances in Gardening & Leisure
- B&M retains profit forecast despite Q1 revenue drop
- Revenues down 2.2% year-on-year to £1.15bn in Q1 FY23
- UK revenues include £9m of wholesale revenues, down from £13m in Q1 FY22
- Like-for-like revenues dropped 9.1% due to high sales in April 2021
- Revenues down 19.1% year-on-year in the five week period of April 2022
- France delivered revenue growth of 33% in Q1, with Gardening and Leisure performing well
- Heron Foods performed consistently well throughout the quarter
- Rollout of 28 new stores across the group, including 21 in UK and 4 in France
Despite a 2.2% year-on-year decline in group revenues from £1.18bn to £1.15bn during Q1 FY23, B&M has retained its FY23 guidance with an expected EBITDA range of £550m to £600m. The UK’s like-for-like revenues dropped 9.1% due to elevated sales in April 2021, while overall revenues fell 19.1% year-on-year during the five week period of April 2022. However, France experienced a 33% revenue growth in Q1, with Gardening and Leisure categories performing particularly well. Heron Foods also performed consistently ahead of expectations throughout the quarter. The company opened 28 new stores across the group, including 21 in the UK and four in France.
Factuality Level: 9
Factuality Justification: The article provides accurate information about B&M’s financial performance, including revenue figures, guidance for FY23, and store expansion plans. It also mentions the performance of specific product categories and regions. The information is presented in a clear and concise manner without any apparent bias or misleading statements.
Noise Level: 3
Noise Justification: The article provides relevant information about B&M’s financial performance and highlights specific areas of growth and decline. It also mentions the rollout of new stores, which indicates the company’s expansion plans. However, it lacks in-depth analysis or exploration of long-term trends or consequences of decisions on those who bear the risks.
Financial Relevance: Yes
Financial Markets Impacted: B&M Retail Group’s financial performance impacts its stock value and may affect related companies in retail sector
Financial Rating Justification: The article discusses the company’s revenue decline, EBITDA guidance, and store expansion plans, which are relevant to the company’s financial status and can impact the stock value and other retail companies.
Presence Of Extreme Event: No
Nature Of Extreme Event: Other
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no extreme event mentioned in the text.
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