Kingfisher recovers in the first half and raises its forecasts

British DIY retailer Kingfisher, owner of Castorama and Brico Dépôt in France, recovered in the first half of the year after a dismal year and raised its annual targets.

The group's turnover increased by 0,8% to 6,8 billion pounds (7,8 billion euros) in the first six months of its staggered financial year, ending July 31, compared to the same period last year, according to a press release published Tuesday.

Net profit remained stable at 237 million pounds.

In its 2024-2025 financial year, Kingfisher saw its sales fall by 0,8% and its net profit plunge by 46%, penalized by the gloomy French DIY market.

"We had a good first half, with sales growth of 1,9% on a comparable basis and adjusted for calendar effects. This growth is qualitative, driven by the increase in volumes and transactions," commented Kingfisher CEO Thierry Garnier, quoted in the press release.

The group has raised its annual targets and now expects adjusted pre-tax profit for the 2025/2026 financial year "at the upper end of the previously communicated range of approximately £480 million to £540 million," according to the press release.

"We have also revised upwards our forecast range of free cash flow for the 2025/2026 financial year to between approximately £480 million and £520 million, compared to the previous range of approximately £420 million and £480 million," the group explained.

Kingfisher suffered last year from the gloom of the French DIY market, itself weighed down by a slump in the real estate market.

The group is present in seven countries, has 1.900 stores and 74.000 employees.

Kingfisher shares, listed on the London Stock Exchange, rose 17,37% to 288,50 pence in a market gain of 0,24% around 07:20 GMT.