Retailer B&M says annual profit may rise up to 16% as turnaround takes hold

Nov 12 (Reuters) - Discount retailer B&M BMEB.L said on Thursday its annual profit may rise up to 16% after second-quarter like-for-like UK sales grew 3.2%, as lower prices and leaner ranges under CEO Tjeerd Jegen’s turnaround plan win back cash-strapped shoppers.

Here are some details:

• B&M forecast fiscal 2027 adjusted pre-tax profit between £280 million and £330 million ($371.20 million and $437.48 million), compared with £284 million reported a year earlier

• The rise in second-quarter sales marks a turnaround from the first quarter, when a slow start to the gardening season dragged on UK sales

• Early trading in its "golden quarter", which refers to its peak trading period between October and December, has been positive in each of its three businesses, it said

• Revenue for the six months ended September 26 rose 3.6% to £2,848 million, with higher like-for-like (LFL) sales in all three businesses

• Jegen's "Back to B&M Basics" plan is intended to rebuild profitability amid stiff competition, particularly from supermarket loyalty schemes

• First-half LFL sales grew 5.9% in France and B&M said it had not seen a material impact from ongoing social unrest in the country

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