Kingfisher to exit Russia, Spain, Portugal as Q3 sales fall
Staff Writer | November 21, 2018
Kingfisher, Europe's second largest home improvement retailer, said today it would exit Russia, Spain and Portugal so it can focus on markets where it has, or can reach, a market leading position. Article continues below
The group's main businesses are B&Q and Screwfix in Ireland and Britain and Castorama and Brico Depot in France.
It also reported a fall in underlying sales in its third quarter, with Castorama in France continuing to trade particularly poorly.
Kingfisher, which across Europe trails France's Groupe Adeo, is in the third of a five-year plan to boost annual profit by £500m from 2021.
"We are committed to our plan and to building a strong business for the long-term. As part of this commitment, we have taken the decision to exit Russia, Spain and Portugal," chief executive Véronique Laury said.
"This will allow us to apply our strategy with more focus and efficiency in our main markets," the CEO added.
Kingfisher's total sales rose 1.2% to £3.04 billion in its third quarter to October 31, while like-for-like sales fell 1.3%.
This reflected a continued weak performance at Castorama France where like-for-like sales slumped 7.3%.
Kingfisher has a plan to improve Castorama's performance but warned "there is no quick fix".
B&Q UK & Ireland's like-for-like sales fell 2.9%, while Screwfix's sales on the same basis were up 4.1%.
Kingfisher's gross margin rose 40 basis points in the third quarter. For the full 2018-19 year it expects gross margin to grow in the UK, Poland and at Brico Dépôt France.
But it said the margin outlook for Castorama France was more uncertain given difficult trading and the ongoing impact of recent national demonstrations. ■ What to read next
A front extending from the Central Plains to the Southern Plains will move eastward to the Lower Great Lakes to the Central Gulf Coast by Sunday.
Latest US oil and gas rig count stays unchanged, Baker Hughes says
Siemens will create more than 900 U.S. skilled jobs
Ralliant creating 180 jobs in Wake County, North Carolina
EnBW initiates submarine cabling for He Dreiht, advancing Germany’s largest offshore wind farm
Storm shifting from Four Corners states across southeast U.S. will bring areas of heavy mountain snow
Türkiye to build first wall on Greece border
Eurotunnel maintenance workers to take strike action over pay
Fire weather concerns and strong winds for central U.S:, snow across upper Great Lakes and northeast
Leaders of international customs fraud ring involving biodiesel imports arrested in Netherlands
Hungary to build world’s longest undersea power line with four partner countries
U.S. drillers cut oil and gas rigs to 592
India to commission world’s longest LPG pipeline by June
U.S. drillers add oil and gas rigs to 593
Plans revealed for train service from UK to Italy and Germany
Trending Now
EU approves €400m of renewable hydrogen funds
Midlands will benefit from more than 16,000 new EV chargers
Trump grants one-month suspension of tariffs on Mexico, Canada under trilateral agreement
Qatar plans $10 billion investment in India
Italy, UAE boost partnership with $40 billion investments
Today We Recommend Highlights
Mallinckrodt and Endo announce $6.7B merger
CMA CGM creating 10,000 new American jobs
Port of Barrow submits planning application for UK’s largest floating solar energy project
Swedish EV battery firm Northvolt files for bankruptcy
Japan's Mitsui O.S.K. to buy Dutch tank terminal operator for $1.7bn
UtilityInnovation Group appoints Daniel Taschik as CTO of GridSure
Equiduct names Martin Andersson as head of Nordics
Ruslan Pereira promoted to head of sales for Lindemann’s South American region
Nazeem Noordali appointed CEO of International Islamic Trade Finance Corporation
Inizio appoints Colin Stanley as chief commercial officer
EU records trade surplus for 6 quarters in a row
Brazil reaches second highest export value for January
U.S. becomes New Zealand's second largest export destination
Indonesia goes from $0.6 billion deficit to $5.9 billion surplus
Greece to repay $5.3 billion bailout debt early
Lockton revenue $3.55 billion
Motorcar Parts of America Q4 sales $189.5 million
Limoneira Q2 revenue $44.6 million
Lululemon athletica Q1 revenue increased 10% to $2.2 billion
PVH Q1 GAAP EBIT $205 million
Niger set to monetize massive gas reserves through Saharan natural gas pipeline
Putting the brakes on EV folly that choked the market
Oil discovery in Kavango Basin may mean huge benefits for Namibians
Cape Town and Dubai battle over Africa's energy future
Is America going to lose its superpower status?
Netherlands rolls out bird flu vaccination pilot programme
Hungary detects first case of foot and mouth disease in 50 years
South Africa secures market access for table grape exports to Philippines
Hong Kong and Philippines ban import of poultry meat from certain states in U.S.
Strong year for Aussie ag beefed up by livestock
Employers prefer younger job candidates for AI roles although experienced workers perform same or better
Study finds workers misjudge wage markets
Some organizations may need to expand their hierarchical structures earlier than others
Study finds there's right way and wrong way to deliver negative feedback in workplace
Allyship is critical and its needs appreciation
BHP, Vale agree to pay $30B damages for Brazil dam disaster
Commission fines České dráhy and Österreichische Bundesbahnen €48.7 million over collusion to exclude common compe
SEC charges Keurig with making inaccurate statements regarding recyclability of K-Cup beverage pod
SEC charges John Deere with FCPA violations for subsidiary’s role in Thai bribery scheme
AG Bonta secures $3.9 million settlement with cryptocurrency company Robinhood
Magazine
Morocco’s first Radisson branded hotel opens in Casablanca
Buna channels, an unreal and beautiful part of Bosnia and Herzegovina
JW Marriott unveils Mindful Haven with opening of JW Marriott Hotel Nairobi
Sotheby's Sports Week returns with fantastic artifacts
Red Roof properties open in Michigan
2025 Chevrolet Equinox stands apart with fresh looks and capability
Hill Helicopters HX50, luxury in the sky
Opel Movano becomes fully equipped camper van
Porsche Panamera, new hybrid variants
Dodge Charger, 670 horsepower of electric
Embellish your home with PVC panels
You'll have to hurry if you want one of 20 new Louis Vuitton watches
Luxury duvet looks good, fells good and keeps you healthy
Vacheron Constantin, watches for life and more
Schüller kitchens, where functionality marries design
reMarkable 2, monochrome tablet for your thoughts and your eyes
OnePlus Ace 3V, first with Snapdragon 7 Plus Gen 3
ASUS Zenfone 11 Ultra, flagship with a reason
Samsung Galaxy S24 is photography powerhouse
Casette tapes are making a big comeback, and so are portable players
One more barrier to developing vaccine for HIV removed
Rwanda begins world's first clinical trial for treatment of Marburg virus disease
Rwanda restricts gatherings amid Marburg virus outbreak, to begin trials of vaccine
Teksas Attorney General reaches settlement in first-of-its-kind healthcare generative AI investigation
Potentially deadly fungal disease spreading in California
India launches space docking experiment mission
World-first carbon-14 diamond battery made
Einstein Telescope step closer
Exoplanet-hunting telescope to begin search for another Earth in 2026
India to build first phase of its own space station by 2028