Bargain retailer B&M defies retail gloom with plans to add another 45 stores as it unveiled a rise in profit and revenue.
This came on the back of 4.7% like-for-like sales growth in stores.Pre-tax profits jumped 25.4% to £229.3m.
The retailer opened 47 new UK stores in the period, although closed eight, and is planning at least 45 more in the current financial year.
The strong results came despite what B&M said was a “disappointing” fourth quarter. Like other retailers with offerings in DIY and gardening, it was affected by the poor weather conditions.
But B&M has delivered growth despite the well-documented headwinds on big-box retailers which has affected the likes of Mothercare, Carpetright, Toys R Us and Maplin.
Chief executive Simon Arora, commented: “The B&M model is highly relevant for the current difficult economic environment, with its strong position in the value and convenience areas of retailing where physical stores are winning. The business is well placed for continued profitable, long-term growth. In a retail sector beset by structural challenges B&M’s unique, disruptive model stands out as a success story.”
In January, B&M reported a sharp increase in sales over the Christmas period, benefiting from rising inflation and slow wage rises leading to consumers seeking out value.