Kingfisher raises annual profit outlook after strong first half

LONDON, Sept 22 (Reuters) - European home improvement retailer Kingfisher KGF.L raised its full-year profit guidance on Tuesday after it reported a 9.9% increase for the first half, winning market share in the UK, Poland and Spain.

The FTSE-100 listed group, which owns B&Q and Screwfix in the UK and Castorama and Brico Depot in France and other markets, made adjusted profit before tax of £404 million ($540.3 million) in the six months to July 31, driven by gross margin expansion of 70 basis points, cost control and a £14 million business rates refund.

Total sales rose 0.8% to £6.86 billion, while underlying like-for-like sales rose 0.3%.

Kingfisher said it gained market share at Screwfix, in Poland and in Spain. While B&Q and Castorama France held share, Brico Dépôt France's performance was dented by heatwaves.

The group, whose shares have increased 22% over the last year, is now forecasting a full-year 2026/27 adjusted profit before tax of £595 million to £625 million, versus previous guidance of £565 to £625 million, and compared to the £560 million it made in 2025/26.

"While the consumer environment remains mixed, our consistent delivery, strategic progress and opportunities ahead give us the confidence to upgrade our guidance," CEO Thierry Garnier said.

In May, Garnier resigned after nearly seven years as CEO to become the boss of Netherlands-headquartered supermarket group Ahold Delhaize AD.AS. He does, however, have a 12-month notice period.

($1 = 0.7478 pounds)