REG - Kingfisher PLC - Q3 Trading Update
Today 07:00
For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20251125:nRSY8039Ia&default-theme=true
RNS Number : 8039I Kingfisher PLC 25 November 2025
Q3 and YTD 25/26 trading update to 31 October 2025 (unaudited)
Strategic initiative delivery driving momentum.
Full year profit guidance upgraded
Q3 Q3 YTD
Sales % Total % Total % LFL Sales % Total % Total % LFL
Change Change Change((1)) Change Change Change((1))
£m Reported Constant currency Constant currency £m Reported Constant currency Constant currency
UK & Ireland 1,685 +4.2% +4.0% +3.0% 5,213 +4.4% +4.4% +3.6%
France 974 +0.7% (2.6)% (2.5)% 3,022 (1.4)% (2.1)% (2.3)%
Poland 481 +2.9% (1.2)% (1.3)% 1,427 +1.3% (0.7)% (1.8)%
Other International 112 (33.5)% (35.5)% +10.3% 401 (21.2)% (21.4)% +8.7%
Total Group 3,252 +1.0% (0.8)% +0.9% 10,063 +0.9% +0.4% +1.2%
*Excluding calendar impact ((2)) (0.8)% +0.9% +0.8% +1.6%
Q3 Highlights
· Underlying LFL sales of +0.9% and YTD +1.6% driven by continued
volume & transaction growth
· Strong UK performance with continued market share growth((3)) driving
LFL sales growth of +3.0%
· Subdued consumer demand in France and Poland with banner performance
in line with their markets((3))
· Strategic initiatives delivering; sales growth in trade +12.1% with
penetration of 31.3% (up 3.6%pts YoY) Sales growth in e-commerce((4)) +10.2%
with penetration of 20.7% (up 1.9%pts YoY)
· Continued growth in core and 'big-ticket', with soft seasonal sales
· Upgrading full year profit guidance
· Share buyback - £175m((5)) purchased to date. On track to complete
current £300m programme by March 2026
FY25/26 outlook and guidance((6))
Our performance to date, progress in strategic initiatives and our cost and
margin discipline, despite softening market conditions in the UK and Poland in
Q3, gives us the confidence to upgrade our full year adjusted profit before
tax guidance to c.£540m to £570m (previously upper end of c.£480m to
£540m). We maintain our free cash flow target guidance c.£480m to £520m,
reflecting the newly planned acquisition of a B&Q freehold property in Q4.
Thierry Garnier, Chief Executive Officer, said:
"We delivered another quarter of high quality, volume-led growth, driven by
our Group strategic initiatives in e-commerce and trade and by our performance
in core and 'big-ticket' categories. B&Q, Screwfix and Iberia continue to
strongly outperform their markets. Our performance to date and progress in our
strategic initiatives give us the confidence to upgrade our full year profit
guidance.
"As we look ahead, we are committed to driving shareholder returns through the
consistent execution of our strategic priorities and by being disciplined on
margin and costs."
( )
(*)Underlying sales growth refers to sales excluding calendar and leap year
impact. In Q3 the calendar impact is zero, and therefore there is no
difference between LFL and underlying sales. (LFL sales +0.9% +0.0% =
underlying LFL of +0.9%((2))).
Q3 trading highlights by banner
All commentary below is in constant currency.
Sales % Total % Total % LFL
2025/26 Change Change Change((1))
£m Reported Constant currency Constant currency
- B&Q 973 +3.9% +3.8% +2.8%
- Screwfix 712 +4.5% +4.4% +3.3%
UK & Ireland 1,685 +4.2% +4.0% +3.0%
- Castorama 500 (0.6)% (3.9)% (3.4)%
- Brico Dépôt 474 +2.2% (1.1)% (1.6)%
France 974 +0.7% (2.6)% (2.5)%
Poland 481 +2.9% (1.2)% (1.3)%
- Iberia((7)) 106 +13.4% +9.8% +9.8%
- Screwfix France & Other((8)) 6 +65.5% +61.0% n/a
- Romania((9)) - n/a n/a n/a
Other International 112 (33.5)% (35.5)% +10.3%
Total Group 3,252 +1.0% (0.8)% +0.9%
Excluding calendar impact ((2)) (0.8)% +0.9%
Other International (excl. Romania)((9)) 112 +15.3% +11.6% +10.3%
Total Group (excl. Romania)((9)) 3,252 +3.3% +1.5% +0.9%
UK & Ireland
· Market growth slightly positive on a YTD basis, with Q3 slightly
negative((10)). We continue to be mindful of inflation, uncertainty ahead of
the Autumn Budget and the softening labour market.
· B&Q - Volume and transaction led LFL growth across all
categories. Market share gains((3)) driven by progress in our strategic
initiatives and benefit from Homebase store closures. E-commerce sales rose
+19.4% in the quarter with penetration((4)) of 16.5%. B&Q's marketplace
GMV grew by +43.4% as we continue to improve both choice and convenience for
customers with cross-border vendor onboarding and further roll out of
marketplace Click & Collect.
Tradepoint - B&Q's trade-focused banner, delivered LFL sales growth of
+3.7%, as the business continued to strengthen its relationship with trade
customers.
· Screwfix - Volume and transaction led LFL sales growth, supported by
a strong start to the peak trading period (Sep to Nov). Continued market share
gains((3)) driven by the successful launch of the new loyalty programme and
the opening of six new stores.
France
· Market decline of low to mid single digit on a YTD and Q3
basis((10)), impacted by weak consumer sentiment, an uncertain political
environment, and national strike action in the quarter.
· Castorama - Subdued market as expected across core and 'big-ticket'
categories. Seasonal sales were affected by warmer weather. E-commerce((4))
and trade sales penetration in the quarter reached 8.3% and 4.5% respectively
(up 1.1%pts and 4.1%pts YoY). The restructuring and modernisation plan is
fully on track.
· Brico Dépôt - Improving sequential LFL trends by quarter (Q3 of
-1.6% vs Q1: -3.3% & Q2: -2.4%). Core categories were the main driver,
with continued LFL growth in kitchens following recent range reviews, more
than offset by soft bathroom and storage sales. Seasonal sales supported by a
successful promotional campaign and a lower weighting of heating categories.
Trade sales penetration reached 13.1% in the quarter (up 3%pts YoY).
Poland
· Market decline of low single digit on a YTD and Q3 basis((10)). While
signs of broader market recovery continue, including consumer confidence and
further interest rate cuts, we are yet to see an inflection in the home
improvement market with Q3 weaker than expected.
· Performance broadly in line with Q2. Core sales improved versus H1.
Big-ticket' sales were slightly down, driven mainly by the bathroom category.
Seasonal sales were impacted by weather-related weakness in outdoor products.
E-commerce((4)) and trade sales penetration in the quarter reached 4.5% and
28.8% respectively (up 1.2%pts and 8.3%pts YoY).
Other International
· Iberia delivered another quarter of strong growth with significant
market share gains in Spain((3)). Looking ahead, we expect sales in Q4 to be
broadly flat, reflecting the strong Q4 comparatives.
· Screwfix France saw continued progress with store LFL sales growth of
+51% in line with expectations as sites mature.
LFL sales by category
Q3 YTD
% LFL Change((1))
Core((11)) 'Big-ticket'((12)) Seasonal((13)) Q3 YTD 25/26
-B&Q +1.7% +7.8% +7.4% +3.9%
-Screwfix +2.9% +2.2% +6.1% +3.1%
UK & Ireland +2.3% +6.0% +7.2% +3.6%
-Castorama (2.2)% (4.2)% (0.2)% (2.1)%
-Brico Dépôt (4.1)% (0.6)% +0.7% (2.5)%
France (3.2)% (2.3)% +0.1% (2.3)%
Poland (2.0)% +0.1% (2.8)% (1.8)%
-Iberia +12.4% +7.2% +5.5% +10.1%
-Romania (4.1)% +8.7% +1.7% n/a
Other International* +10.2% +7.9% +4.5% +8.7%
Group LFL +0.4% +1.9% +3.1% +1.2%
Excluding calendar impact +0.8% +2.3% +3.5% +1.6%
Q3
% LFL Change((1))
Core((11)) 'Big-ticket'((12)) Seasonal((13)) Q3 25/26
-B&Q +2.3% +7.1% +0.9% +2.8%
-Screwfix +4.1% +3.7% (7.0)% +3.3%
UK & Ireland +3.2% +5.9% (0.7)% +3.0%
-Castorama (1.8)% (3.1)% (7.5)% (3.4)%
-Brico Dépôt (2.1)% (1.6)% +0.3% (1.6)%
France (2.0)% (2.3)% (4.5)% (2.5)%
Poland (1.0)% (0.4)% (3.7)% (1.3)%
-Iberia +12.3% +9.7% (2.0)% +9.8%
Other International* +12.9% +10.3% (2.0)% +10.3%
Group LFL +1.5% +1.8% (2.6)% +0.9%
Excluding calendar impact +1.5% +1.8% (2.6)% +0.9%
*Includes Screwfix France and other
Q3 trading highlights by category:
· Core (70% of sales): Regional performance broadly reflected
prevailing consumer trends - resilient performance in the UK with an 11(th)
consecutive quarter of underlying LFL growth, and softer trading in France and
Poland.
· 'Big-ticket' (16% of sales): Continued growth in kitchen category
sales at B&Q and Brico Dépôt France supported by recent range reviews
and soft prior-year comparatives. This is partially offset by softer trading
in bathroom & storage categories in France and Poland. The Group's order
book((14)) at the end of Q3 was flat as we annualise last year's range
reviews.
· Seasonal (14% of sales): Impacted by warmer weather delaying the
start of the heating season.
Appendix
Update and progress against market outlook for FY 25/26
To support our planning for FY 25/26, we assess various scenarios for the
growth of the total addressable home improvement markets in the UK &
Ireland, France and Poland in 2025, compared to 2024. The "high case" and "low
case" scenarios outlined at the start of the year were as noted below, in
constant currency and including expected market space growth:
Market outlook scenarios:
Our expectation of total addressable
home improvement market % change in 2025 (YoY)
Low case High case
UK & Ireland Flat Low single digit % growth
France Low to mid single digit % decline Flat
Poland Low single digit % decline Low single digit % growth
The spread between the high and low cases in each of the markets above is c.3
to 4%pts
Market conditions((10)) in the UK and Poland have softened during Q3
supporting our view that UK & Ireland, France and Poland are now tracking
between the lower end and middle of the range of our scenarios for the full
year.
Guidance
We have upgraded our FY 25/26 PBT guidance to c.£540m to £570m (previously
c.£480m to £540m). We maintain our free cash flow target guidance c.£480m
to £520m, reflecting the newly planned acquisition of a B&Q freehold
property in Q4.
Technical guidance
FY 25/26 income statement (lower net finance costs)
· Space:
- Sales impact of c.+1% from net space growth excluding Romania, mainly
from Screwfix UK & Ireland and Castorama Poland (FY 24/25: +0.9%)
- Sales impact of c.-2% from the sale of Romania which was completed
ahead of our expectations.
· B&Q business rates: Reminder of one-off benefit in FY 24/25 of
£33m related to business rates refunds at B&Q (H1 £24m)
· Sale of Romania: YoY benefit of c.£10m to Group retail profit
· Higher wages, taxes and inflation: c.£145m, which we expect to fully
offset through gross margin and operating cost mitigations
· Net finance costs: Expect c.£95m (FY 24/25: £100m)
· Group adjusted effective tax rate: c.26% (FY 24/25: 28%)
FY 25/26 cash flow (increased Capex)
· Capital expenditure: c.£370m (previously c.£350m)
· Share buybacks: The £300m share buyback programme announced in March
2025 to be complete by end of March 2026, plus c.£26m repurchased in FY 25/26
related to the previous £300m programme
Footnotes
((1)) LFL (like-for-like) sales growth represents the constant currency,
year-on-year sales growth for stores that have been open for more than one
year.
((2)) Total calendar impact is broadly similar across banners and consists of
1. Leap year impact reflecting the impact of an extra day of trading on
Thursday 29 February 2024. The impact of the leap year on Q3 YTD 25/26 LFL
sales was +0.3%; 2. Calendar impact representing the impact of the annual
calendar shift on LFL sales growth due to different days of the week falling
into or out of the current period compared to the prior period. For example,
historically, higher trading is seen on a Friday and Saturday as compared to a
Sunday. This includes the impact of national public holidays falling on
different days of the week compared to the prior period. The calendar impact
on Q3 25/26 LFL sales was +0% and Q3 YTD 25/26 LFL sales was +0.1%.
((3)) Market data used for assessing market share: for the UK according to
GfK, BRC (British Retail Consortium) and Barclays for the period of August
2025 to October 2025, France market data according to GfK for the period of
August 2025 to September 2025. Poland market data according to GfK for the
period of August 2025 to October 2025. For Spain according to AECOC panel.
((4)) E-commerce sales penetration % represents total e-commerce sales as a
percentage of sales. For the purpose of this calculation only, sales are
adjusted to replace marketplace net sales with marketplace gross sales. It is
used to track the success of our e-commerce strategy. Please refer to the
glossary in Kingfisher's 2025/26 Half Year Results announcement for full
definitions of e-commerce metrics.
((5)) Refers to the current £300m share buyback programme to be completed by
the end of March 2026. Third tranche completed on 17(th) November 2025.
((6)) A review of our market backdrop and guidance can be found in the
appendix to this statement
((7)) Brico Dépôt Spain and Portugal.
((8)) 'Screwfix France & Other' consists of the consolidated results of
Screwfix France, results from franchise and wholesale agreements and, in the
prior year, NeedHelp (the Group completed the divestment of its c.80% equity
interest in NeedHelp on 18 July 2024).
((9)) On 2 May 2025, the Group completed the divestment of its 100% equity
interest in Brico Dépôt Romania.
((10)) Market growth for quarter based on panels, data from our suppliers and
our internal analysis which includes a range of indicators such as
macroeconomic, consumer health, mortgage approvals and housing transactions,
as well as our own research on retail and trade customer sentiment; in line
with methodology used for our FY 25/26 market outlook scenarios
((11)) Core category sales represented 70% of Group sales in Q3. It includes
the sales from non-seasonal products across all our categories, other than
'big-ticket' sales.
((12)) 'Big-ticket' category sales represented 16% of Group sales in Q3. It
includes the sales from kitchen, bathroom & storage products.
((13)) Seasonal category sales represented 14% of Group sales in Q3. It
includes the sales from certain products within our outdoor, electricals,
plumbing, heating & cooling (EPHC) and surfaces & décor categories.
((14)) Order book refers to orders taken for 'big-ticket' projects which have
not yet been fulfilled.
Contacts
Tel: Email:
Investor Relations +44 (0) 20 7644 1082 investorenquiries@kingfisher.com (mailto:investorenquiries@kingfisher.com)
Media Relations +44 (0) 20 7644 1030 corpcomms@kingfisher.com (mailto:corpcomms@kingfisher.com)
Teneo +44 (0) 20 7420 3184 kfteam@teneo.com (mailto:kfteam@teneo.com)
Q3 trading update and data tables
This announcement and data tables for Q3 25/26 sales can be downloaded from
the Investors section of our website at www.kingfisher.com/investors
(http://www.kingfisher.com/investors) .
Full year 25/26 results
Our next scheduled results announcement will be our results for the twelve
months ending 31 January 2026, on 24 March 2026.
American Depository Receipts
Kingfisher American Depository Receipts are traded in the US on the OTCQX
platform: (OTCQX: KGFHY) http://www.otcmarkets.com/stock/KGFHY/quote
(http://www.otcmarkets.com/stock/KGFHY/quote) .
About Kingfisher plc
Kingfisher plc is an international home improvement company with over 1,800
stores, supported by a team of c.73,000 colleagues. We operate in seven
countries across Europe under retail banners including B&Q, Castorama,
Brico Dépôt, Screwfix, TradePoint and Koçtaş. We offer home improvement
products and services to consumers and trade professionals who shop in our
stores and via our e-commerce channels.
Forward-looking statements
You are not to construe the content of this announcement as investment, legal
or tax advice and you should make your own evaluation of the Company and the
market. If you are in any doubt about the contents of this announcement or the
action you should take, you should consult a person authorised under the
Financial Services and Markets Act 2000 (as amended) (or if you are a person
outside the UK, otherwise duly qualified in your jurisdiction).
This announcement has been prepared in relation to sales for the quarter ended
31 October 2025.
The financial information referenced in this announcement is not audited and
does not contain sufficient detail to allow a full understanding of the
results of the Group. Nothing in this announcement should be construed as
either an offer or invitation to sell or any offering of securities or any
invitation or inducement to any person to underwrite, subscribe for or
otherwise acquire securities in any company within the Group or an invitation
or inducement to engage in investment activity under Section 21 of the
Financial Services and Markets Act 2000 (as amended) (or, otherwise under any
other law, regulation or exchange rules in any other applicable jurisdiction).
Certain information contained in this announcement may constitute
"forward-looking statements" (including within the meaning of the safe harbour
provisions of the United States Private Securities Litigation Reform Act of
1995), which can be identified by the use of terms such as "may", "will",
"would", "could", "should", "expect", "anticipate", "project", "estimate",
"intend", "continue", "target", "plan", "goal", "aim", forecast, or "believe"
(or the negatives thereof) or other variations thereon or comparable
terminology. These forward-looking statements are based on currently available
information and our current assumptions, expectations and projections about
future events. These forward-looking statements include all matters that are
not historical facts and include statements which look forward in time or
statements regarding the Company's intentions, beliefs or current expectations
and those of our Officers, Directors and employees concerning, amongst other
things, the Company's results of operations, financial condition, changes in
global or regional trade conditions (including a downturn in the retail or
financial services industries), competitive influences, changes in tax rates,
exchange rates or interest rates, changes to customer preferences, the state
of the housing and home improvement markets, share repurchases and dividends,
capital expenditure and capital allocation, liquidity, prospects, growth and
strategies, litigation or other proceedings to which we are subject, acts of
war or terrorism worldwide, work stoppages, slowdowns or strikes, public
health crises, outbreaks of contagious disease, environmental disruption or
political volatility. By their nature, forward-looking statements are not
guarantees of future performance and are subject to future events, risks and
uncertainties - many of which are beyond our control, dependent on actions of
third-parties, or currently unknown to us - as well as potentially inaccurate
assumptions that could cause actual events or results or actual performance of
the Group to differ materially from those reflected or contemplated in such
forward-looking statements. For further information regarding risks to
Kingfisher's business, please consult the risk management section of the
Company's Annual Report (as published). No representation, warranty or other
assurance is made as to the achievement or reasonableness of, and no reliance
should be placed on, such forward-looking statements.
This interim management report has been prepared solely to provide additional
information to shareholders to assess the Group's strategies and the potential
for those strategies to succeed. It should not be relied upon by any other
party or for any other purpose. The forward-looking statements contained in
this announcement are made in good faith based on information available to the
Directors at the time of approval. However, such statements should be treated
with caution due to the inherent uncertainties - both economic and
business-related - underlying any forward-looking information. This report has
been prepared for the Group as a whole and therefore places greater emphasis
on matters significant to Kingfisher plc and its subsidiary undertakings when
viewed on a consolidated basis.
The forward-looking statements contained in this announcement speak only as of
the date of this announcement and the Company does not undertake any
obligation to update or revise any forward-looking statement to reflect any
new information, change in circumstances, or change in the Company's
expectations to reflect events or circumstances after the date of this
announcement or to reflect the occurrence of unanticipated events.
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
or visit
www.rns.com (http://www.rns.com/)
.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
. END TSTUSSBRVRUAUAA
Copyright 2019 Regulatory News Service, all rights reservedRecent news on Kingfisher
See all newsREG - Kingfisher PLC - Q3 Trading Update
AnnouncementREG - Kingfisher PLC - Director/PDMR Shareholding
AnnouncementREG - Kingfisher PLC - Director/PDMR Shareholding
AnnouncementRCS - Kingfisher PLC - Retail Investor Presentation
AnnouncementREG - Kingfisher PLC - Third Tranche of Share Repurchase Programme
Announcement