Home improvement retailer Kingfisher has today reported a 23.1% rise in first half profit, driven by a strong sales recovery in its second quarter as consumers took to do-it-yourself (DIY) and gardening projects during the Covid-19 pandemic.
The group owns B&Q and Screwfix in Ireland and Britain and Castorama and Brico Depot in France and other markets.
It said today that second quarter like-for-like sales had increased 19.5%.
"This recovery has continued into the third quarter to date, with growth across all banners and categories," its chief executive Thierry Garnier said.
"The crisis has prompted more people to rediscover their homes and find pleasure in making them better. It is creating new home improvement needs, as people seek new ways to use space or adjust to working from home," he said.
Kingfisher made an adjusted pretax profit of £415m in its first half - ahead of analysts' expectations and up from £337m the same time last year.
Total sales fell 1.3% to £5.92 billion, reflecting the impact of the virus in the first quarter when stores were closed.
E-commerce sales soared 164% and now represent 19% of total sales compared to 7% in the same time last year.
"Looking forward, while the near term outlook is uncertain, the longer term opportunity for Kingfisher is significant," added Garnier.
The Kingfisher CEO also said the company will focus on smaller store formats in the future.
"We believe in smaller store formats looking forward," Thierry Garnier told reporters.
He said he was encouraged by the trial of three B&Q 'Express' stores in Britain and wants to trial other smaller formats in other countries.
Garnier added that forming "shop in shop" partnerships with other retailers, along the lines of a recent deal with supermarket Asda and developing click and collect and home delivery services from stores were also key focuses.
Shares in Kingfisher are up up 22% so far this year.
