Kingfisher Raises Full-Year Outlook After H1 Profit Rises 9.9% to £404 Million

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Summary · why it matters

Kingfisher raised its full-year outlook after adjusted first-half pre-tax profit rose 9.9% to £404 million, supported by gross-margin gains and £44 million in structural cost savings. The company lifted its full-year adjusted pre-tax profit guidance to £595 million to £635 million, an increase of £20 million at the midpoint, and raised expected free cash flow by £20 million to a range of £480 million to £520 million. Adjusted earnings per share increased 16%, and free cash flow totaled £339 million after investment in strategic priorities, Chief Financial Officer Bhavesh Mistry said. Trade sales reached £2.1 billion and rose 16% excluding Screwfix, e-commerce sales reached £1.6 billion and rose 16% excluding Screwfix, and marketplace gross merchandise value jumped 42%, contributing more than £13 million in retail profit. Screwfix led U.K. performance with 5.6% like-for-like sales growth, while U.K. and Ireland retail profit increased 4.9% to £361 million, France retail profit rose to £74 million, Poland retail profit rose 15.7% to £60 million and Iberia retail profit grew 17% to £13 million. Kingfisher returned £333 million to shareholders through dividends and buybacks, declared an interim dividend of 3.8 pence per share, and said it expects to complete £175 million of its £300 million share-buyback program by the end of December.

Impact on assets 1

Consumer Discretionary▲
Kingfisher PLC
KGF
▲ PositiveCapitalrelevance

Kingfisher raised its full-year profit and free-cash-flow guidance after H1 adjusted pre-tax profit rose 9.9% to £404 million, with EPS up 16% and £333 million returned via dividends and buybacks.

Off-coverage companies 1

Screwfixi
Private▲ PositiveDemandrelevance

Screwfix led U.K. performance with 5.6% like-for-like sales growth, driving Kingfisher's U.K. and Ireland retail profit up 4.9% to £361 million.