HORNBACH Baumarkt (HBM) Q1 26/27 earnings summary

Executive summary

• Net sales rose 4.9% year-over-year to EUR 2.0 billion in Q1 2026/27, driven by strong international and like-for-like growth, with May being the strongest month ever.

• Market share expanded in Germany and across Europe, with notable gains in the Netherlands, Czechia, Slovakia, and Switzerland.

• Like-for-like sales increased, supported by higher footfall and average basket size.

• E-commerce sales grew 9% to 13.6% of total sales, with strong growth in Click & Collect.

• New store opened in Trnava, Slovakia; further openings planned in Austria, the Netherlands, and expansion into Serbia.

Financial highlights

• Group net sales rose 4.9% to EUR 2,002.4 million; HORNBACH Baumarkt AG sales up 4.7% to EUR 1,896.8 million.

• Gross profit increased by 4.0% to EUR 699.9 million; gross margin at 35.0% (down from 35.2%).

• Adjusted EBIT nearly flat at EUR 161.0 million (-0.5% year-over-year); margin at 8.0%.

• Free cash flow after CapEx and dividends at EUR 143.0 million, slightly below prior year.

• Net income declined 5.7% to EUR 104.2 million; EPS fell to EUR 6.24 from EUR 6.62.

Outlook and guidance

• Full-year 2026/27 guidance confirmed: net sales expected at or slightly above EUR 6.4 billion, adjusted EBIT to remain around EUR 264.7 million.

• CapEx to be significantly higher due to continued expansion and new market entry; free cash flow to be somewhat lower.

• Guidance reflects ongoing macroeconomic and geopolitical uncertainties, including wage negotiations in Germany.

• Planned store openings in Slovakia, Austria, the Netherlands, and Serbia during 2026/27.

• Moderate cost increases anticipated, influenced by collective bargaining in German retail.