Kingfisher, Europe's biggest home improvements retailer, posted a 15% rise in first-quarter profit as cost savings and reduced losses in China offset a fall in underlying sales due to poor spring weather.
The group, which runs market leader B&Q in Ireland and Britain as well as Castorama and Brico Depot in France, said it made a retail profit of £146m sterling in the 13 weeks ended May 1. That just beat analysts' forecasts of £145m.
Sales at stores open at least a year fell 1.8%, with a 2.8% decline in the UK and Ireland mitigated by a 0.2% rise in France.
However, profit margins benefited from the group's business improvement plans, which include buying more products centrally and directly from cheaper manufacturing centres like Asia.
'The headwinds we anticipated at the start of the year look set to continue, but we are in good shape and well prepared,' said CEO Ian Cheshire.
