Value retailer B&M has announced the resignation of its chief financial officer, after an issue with international freight costs caused it to revise its profit forecast for the financial year.
In a statement to the City today, B&M said it had found Ā£7m of overseas freight costs had ānot correctly [been] recognised in cost of goods soldā and that while the āunderlying system issueā responsible has since been resolved, āits financial impact is material to our outlookā for FY26.
As a result, chief financial officer Mike Schmidt has āadvised the board of his intention to step downā from his role.
The retailerās board has said it also āintends to commission a comprehensive third-party review of this matterā.
B&M has reduced its group adjusted EBITDA outlook for the full financial year to between Ā£470m and Ā£520m, compared to a previous estimate of between Ā£510m and Ā£560m, and adjusted EBITDA to approximately Ā£191m, compared to the previous guidance of Ā£198m.
The retailer said it expects like-for-like sales growth āto be the principal driver of the outcome within this rangeā, for which āwe reaffirm our assumption of a second half UK LFL percentage growth rate of between low-single-digit negative and low-single-digit positive levelsā.
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