Kingfisher sales surge as online demand drives growth

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Kingfisher has posted a spike in sales during its third quarter as surging ecommerce demand drove its top-line growth.

The B&Q and Screwfix owner said like-for-likes jumped 17% at a group level in the three months to October 31.

On a total basis, group sales increased 18% in constant currency to £3.5bn.

Ecommerce revenues rocketed 153% during the period and now account for 17% of total group sales. That compares with just 8% a year ago, as the coronavirus pandemic radically reshapes consumers’ shopping habits.

Click-and-collect sales more than tripled during the quarter and accounted for more than three-quarters of Kingfisher’s online revenues.

All of the DIY giant’s stores remain open across its European markets and the group said it recorded growth in footfall and average transaction values.

Growth in the UK and Ireland outpaced all of Kingfisher’s other markets during the period.

Like for likes rose 20%, while total sales were up 22% on a constant currency basis.

B&Q’s like for likes rocketed 24% amid particularly strong demand for outdoor products. Like for likes in that category surged 45%.

At stablemate Screwfix, like for likes climbed 13%.

Earlier this month, Kingfisher repaid £23m it received under the government’s furlough scheme during the first half of 2020.

Outside of the UK, France and Iberia were Kingfisher’s next best performing territories, posting like-for-like growth of 19% and 18% respectively.

Sales in Romania rose 11% and were up 8% in Poland on a like-for-like basis.

Kingfisher chief executive Thierry Garnier said its growth during the quarter was supported by “strong market demand, as consumers spent more time in their homes and focused on improving them”.

Garnier added: “At the same time, we have made good progress against our ‘Powered by Kingfisher’ strategic priorities – the early benefits of which are enabling us to meet the current strong demand, both in-store and online, and grow our share in key markets. I am thankful for the way in which our teams continue to respond to the immense challenges of doing business in today’s environment.”