B&M European Value Retail (BME) Q3 2026 TU earnings summary

Executive summary

• Q3 began with negative low single-digit like-for-like sales but rebounded in December with 3% like-for-like growth in B&M UK, with similar positive trends in early January, driven by strong seasonal sales and balanced performance between general merchandise and FMCG.

• France delivered positive like-for-like growth, though at a slower rate, while Heron Foods underperformed both in sales and profitability.

• The company is accelerating its 'Back to B&M Basics' program, focusing on SKU rationalization, improved availability, and strategic clearance to lay the foundation for sustainable like-for-like growth.

• The company is investing in price and clearing discontinued lines to support long-term growth, impacting near-term financial performance.

• Full-year guidance for adjusted EBITDA (pre-IFRS 16) has been revised down to £440m–£475m from £470m–£520m.

Financial highlights

• Group Q3 revenue grew 2.9% year-over-year to £1,737m; year-to-date revenue up 3.6% to £4,486m.

• B&M UK Q3 revenue up 1.9% YoY to £1,413m, with like-for-like sales down 0.6%; December like-for-like sales up 3%.

• B&M France Q3 revenue up 8.5% YoY to £186m, like-for-like up 0.4%.

• Heron Foods Q3 revenue up 1.4% YoY to £138m, like-for-like down 0.1%.

• Double-digit sales increases were observed in 153 stores trialing improved availability on 250 best-selling lines.

Outlook and guidance

• FY26 adjusted EBITDA (pre-IFRS 16) now expected at £440m–£475m, down from previous £470m–£520m, reflecting ongoing investments in price competitiveness, clearance, and Heron Foods' underperformance.

• Actions underway to restore sustainable like-for-like growth in the UK over the next 12–18 months.

• Store opening plans remain unchanged, with 40–45 new stores targeted for the year.