Kingfisher drives Screwfix sales up 21% in Q3
Published: 28 November 2013
A sterling performance by Screwfix helped drive up UK sales and profits at Kingfisher during its third quarter, the group said this morning.
Total sales at Screwfix grew by 21.1%, 11.1% like-for-like, to £180m, benefiting from a strong promotional programme, extended opening hours, the continued roll-out of new outlets and the successful introduction of a mobile 'click, pay & collect' offer last year. Nine outlets were opened during Q3, taking the total to 303.
B&Q UK & Ireland, on the other hand, put on only marginal growth, with total sales up just 0.8%, 0.4% LfL, to £915m. Sales of outdoor seasonal products fell by around 8% following strong sales in Q2, but indoor products did better, growing by 3%, with new flooring and light bulb ranges performing particularly well.
Sales of laminate flooring and vinyl tiles were each up 32% and real engineered wood flooring soared by 132%. Shoppers are becoming more adventurous in their choice of wallpaper too, with sales of quirky papers rising 76%, while the week after October's storms saw sales of fence panels up 41% and water pumps up 63%.
TradePoint continued to grow during the quarter, with sales up 7% compared to Q3 last year. Star performers here were sales of heavy bulk materials to the regional delivery hubs, up 109%, and constructional insulation, up 47%.
Total sales at Kingfisher UK & Ireland during Q3 rose 3.7%, 2.0% LfL, to £1,095m, while retail profit grew 8.3% to £63m. And, overall, Kingfisher Group's sales increased to £2.9bn, up 1.4% LfL, while retail profit rose 1.7% in constant currencies to £271m.
Chief executive Ian Cheshire said: "Following a mixed first half, we have seen growth in both sales and profits in our third quarter, one of our most significant trading periods in the year. Whilst we have delivered sales growth in each of our geographies our markets remain challenging.
"Looking ahead, we remain ready to capitalise on any improvement in conditions or opportunities as they arise. In the meantime, our self-help plan, Creating the Leader' continues to progress well, so I remain enthusiastic about our longer-term prospects."