Kingfisher Poland, Iberia & Screwfix France Post LFL Sales Growth

Kingfisher plc has published half year results for the six months ended 31 July 2026 (unaudited).

Kingfisher France

Market

- The home improvement market was flat, with low-single digit growth in Q2 following low-single digit decline in Q1 

Castorama

- LFL +0.4% including marketplace GMS with good momentum of marketplace and strong seasonal performance and higher customer transactions. LFL returned to growth in Q2, marking a fourth consecutive quarter of sequential improvement, driven by momentum in revamped stores and successful range reviews. 10% of total ranges reviewed across the offer including interior flooring and wallpapers, kitchen furniture, sinks and taps, and tools and garden

- Market share broadly stable, with gains from revamped stores and successful range reviews, offset by transfer of two stores to Franchise and one to Brico Dépôt France

- E-commerce sales +11% with penetration now 10%. Marketplace continues to scale, now offering 2.2m SKUs and >1,000 vendors driving +66% marketplace GMV growth and generating positive retail contribution(3) 

- Trade sales penetration +7pts to 8% driven by the rollout of trade colleagues, trade sales partners and pro zones providing trade customers with dedicated service and faster checkout. Trade loyalty membership base more than tripled

- Space contributed (1.3)% to Castorama’s total sales, reflecting the transfer of two stores to franchises and one transfer to Brico Dépôt France. Continued rapid progress in the restructuring and modernisation of its store network. 24 stores have now been addressed through rightsizing, comprehensive refits/modernisations, transfers to Brico Dépôt, and franchising, delivering encouraging early results with increased sales densities and higher profit contribution versus the Castorama average. Castorama is on track to action 9 additional stores in H2 

Brico Dépôt

- LFL (4.2)% reflecting weaker demand in building materials and larger project categories, alongside teething issues following the launch of a new website, which have since been largely resolved. Trade sales remained strong

- Market share negatively impacted by Brico Dépôt’s higher exposure to building materials categories and lower exposure to seasonal categories that benefited from heatwave driven demand

- Trade sales grew +21%, driven by significant development of the trade proposition. Trade penetration now 15%, up +3pts. Brico Dépôt opened 12 additional pro corners during the year, extended its bulk buy range, added more trade-focused SKUs and increased investment in dedicated trade sales partners.

- Space growth contributed +0.6% to sales driven by a transfer from Castorama and by the successful opening of a new Brico Dépôt compact store. The four compact stores delivered c.+11%pts of outperformance compared to traditional store formats. In addition, a first franchise store (a former Mr. Bricolage) opened in May with encouraging early results, creating an opportunity for further capital-light expansion

France retail profit

- Gross margin increased +60bps, reflecting effective management of product costs and supplier negotiations, the margin-accretive impact of Castorama's marketplace and franchise operations, alongside foreign exchange tailwinds, partly offset by higher freight costs and a higher mix of trade sales

- Operating costs decreased (1.3)%, reflecting savings delivered through structural cost reductions and the flexing of staff levels and discretionary spend at Brico Dépôt Retail profit increased +0.8% to £74m (H1 25/26: £72m, at reported rates).

- Retail profit margin increased +10bps to 3.6% (H1 25/26: 3.5%) 

- In 2024 we announced a plan to drive the next level of our performance and profitability in France. The plan targets a retail profit margin of c.5%-7% over the medium term, driven by a combination of self-help measures and operating leverage from an improved market environment. We are pleased with the delivery of our self-help measures. The French market has declined c.10% since 2024, therefore the timing and trajectory of reaching our target is dependent on the pace of the market recovery 

Kingfisher Poland

Market

- The home improvement market grew low single digits with sequential improvement in Q2  

Poland

- LFL +2.2%, reflecting strong momentum in the half with acceleration in Q2 (+4.3%). Performance was supported by +2.5% growth in core categories 

- Market share gains driven by outperformance in trade and e-commerce, and design-led categories supported by our design studio format in shopping malls

- Trade sales grew +14% and penetration reached 28% (H1 25/26: 25%).  Growth was driven by the expansion of our CastoPro proposition and dedicated trade sales partners, with 144 colleagues now in role (H1 25/26: 113), driving incremental sales. Loyalty programme participation increased, with total sign-ups exceeding 550k. Members shopped more frequently and spent more than non-members

- E-commerce sales +39%, supported by marketplace expansion, including the addition of complementary 3P cooling products, furniture and bathroom products. Marketplace retail profit contribution(3) reached break-even. Growing adoption of the mobile app is strengthening customer acquisition and loyalty

- Space growth contributed +1.4% to sales, primarily reflecting one new store opening in the prior year. Expect to open two stores in H2

Poland retail profit 

- Gross margin increased +140bps, reflecting the effective management of product costs and supplier negotiations, improved stock management, favourable product mix, and the accretive impact of marketplace. This was partly offset by higher share of trade sales 

- Operating costs increased +6.2% driven by higher staff pay, increased technology investment and a larger store estate following recent openings, partly offset by structural cost reductions 

- Retail profit increased +15.7% to £60m (H1 25/26: £51m, at reported rates). Retail profit margin increased +60 bps to 6.0% (H1 25/26: 5.4%, at reported rates) 

OTHER INTERNATIONAL 

Iberia

- LFL +7.7% driven by growth in trade, investment in price, improved store experience and extension of service offering to include installation of air-conditioning units

- Market share gains in Spain driven by leading price positioning in key categories

- Trade sales +46% with penetration +6pts to 24% driven by strong engagement with the pro loyalty programme, the continued performance of pro zones and the increased uptake of attachment products

- E-commerce +25% with marketplace reaching 33% of e-commerce sales (H1 25/26: 28%) and generating a positive retail contribution(3) in the period

- Space growth contributed +1% to sales following the opening of two new stores, the first in ten years

- Retail profit increased +16.9% to £13m, reflecting higher gross profit, partly offset by the increased operating costs of a larger store estate 

Screwfix France

- Store LFL +48%, supported by the benefits of network effects and growing brand awareness in northern France (+5pts to 30%), with successful marketing driving increases in store traffic. Unique store customers +67% with higher repeat customer spend. LFL growth continues to be higher in the more recently launched cohorts and strongest in areas with a more developed network 

- Trade penetration 54% with continued focus on enhancing the customer proposition through additional trade brands and trade-focused campaigns. 

- We opened 2 stores in H1 and expect to open a further 3 in H2 

Source : Kingfisher plc

Image : Kingfisher plc

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