B&M’s profits spiralled as the German arm of the business was “impacted by trading and operational issues”.
The value retailer posted a 70.5% decrease in profit before tax to £32.2m for the 26 weeks to September 29.
The fall in profits was attributed to the German arm of the business – Jawoll – which was impacted by distribution issues and weak sales performance and is now under review by management.
However, group revenue was up 12.4% to £1.8bn – excluding Babou in France, which was acquired after the half-year.
Revenue at its UK stores was up 13.8% including a 3.7% increase in like for likes.
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