B&M European Value Retail has revealed a growth in both revenues and profits. For the full year ending 28 March 2020, the discount retailer revealed a 16.5% increase in revenue to £3.8bn and profit before tax increase of 3.2% as it revealed income of £252m.
The results were also good news for investors, as it recommended that its final dividend increased to 5.4p per share – meaning the full year dividend payout of 8.1 per share shown an overall increase of 6.6%.
As a discounter, the business was also optimistic about its prospects going forward. It claimed that trading has been strong and that it is likely to benefit from the current scenario. As consumers become more worried about their personal finances, it believes its appeal is ‘strengthened’ as households spend less.
“In this last financial year our core B&M UK business delivered solid growth, as did our Heron Foods convenience store business. However, so much about our lives has changed so profoundly and so fast as a result of Covid-19 that a financial year which ended only a short time ago already seems a world away. It is an understatement to say that the progress made during the year has been overtaken by recent events. The challenges posed by the virus have been beyond anything we have experienced before; they have tested every aspect of the way we do business in recent weeks and I’m pleased to say that B&M is coming through the crisis well because of the strength of the B&M proposition and the way our team has responded to those challenges. For that, I express my gratitude to all of my colleagues across the business.
Looking ahead, there are of course many uncertainties for the economy, consumers and not least for the retail industry. We will all be living with the consequences of the virus and the public health responses to it for a long time to come. I am however confident though that B&M with its modern network of mostly out-of-town stores, well-invested infrastructure and value-led variety offer is well positioned to support the communities in which we trade for whatever lies ahead. The health and safety of our colleagues and customers will remain a priority.”Simon Arora, Chief Executive