Discount retailer B&M European Value Retail SA Retail reported a slight rise in full year earnings against a "challenging" economic backdrop.
Adjusted EBITDA rose 0.6% to £620m, while revenue rose 3.7% to £5.57bn. B&M in February issued a profit warning and said Chief executive Alex Russo would step down in April after the retailer downgraded profit guidance for the second time this year in 2025.
The group endured challenging trading conditions during 2024 amid lacklustre consumer confidence, a weak economic backdrop, and unfavourable weather conditions.
It also narrowed its annual earnings guidance to between £620m and £650m in January after UK like-for-like sales contracted for the second successive quarter.
There was no outlook on future or current trading in Wednesday's announcement. Current analyst consensus for fiscal 2026 is for group adjusted EBITDA of £621m, with a range of £569m to £646m, and adjusted operating profit of £585m, with a range of £524m to £628m.
"The group recognises that FY26 will bring retail sector-wide challenges of increased minimum wage costs, higher employee national insurance and other taxes, and inflation on input costs," B&M said.
"Work continues to reduce the impact of these pressures, through driving productivity improvements and sales volume growth. The impact of these additional costs and mitigations are reflected in the current range and median of analyst consensus operating profit forecasts."
Reporting by Frank Prenesti for Sharecast.com