Business
Update on FY26 Guidance and Directorate Change
B&M European Value Retail S.A. has revised its FY26 guidance due to approximately £7m of unrecognised overseas freight costs. This error, stemming from an operating system update, has been resolved, but materially impacts the financial outlook. The Group's Adjusted EBITDA (pre-IFRS 16) is now projected to be in the range of £470m to £520m, a decrease from the previous estimate of £510m to £560m. For H1 FY26, Adjusted EBITDA (pre-IFRS 16) is now expected to be approximately £191m, down from the prior guidance of approximately £198m. The company reaffirms its assumption of a second half UK LFL percentage growth rate of between low-single-digit negative and low-single-digit positive levels. Disclaimer*
About this update from B&m European Value Retail Plc
[{"type":"text","content":"\n\nTHIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF THE MARKET ABUSE REGULATION (EU) 596/2014 (\"EU MAR\") AND ARTICLE 7 OF THE MARKET ABUSE REGULATION (EU) 596/2014 AS IT FORMS PART OF DOMESTIC LAW IN THE UNITED KINGDOM (THE \"UK\") BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018 (\"UK MAR\").\n\n20 October 2025\n \nUpdate on FY26 Guidance and Directorate Change\n \nB&M European Value Retail S.A. (\"the Group\") is today updating its announcement of 7 October 2025 regarding the outlook for its current financial year (\"FY26\").\nThe Group's financial half-year end results consolidation process has identified, after the announcement of 7 October 2025, approximately £7m of overseas freight costs not correctly recognised in cost of goods sold, following an operating system update earlier this year. The underlying system issue has since been resolved but its financial impact is material to our outlook for FY26.\nTherefore, we have reduced our outlook for FY26 based on revised second-quarter margin run rates. Group Adjusted EBITDA (pre-IFRS 16) is now expected to be in the range of £470m - £520m for FY26, compared to the previous estimate of £510m - £560m. For H1 FY26, the Group now expects to report Adjusted EBITDA (pre-IFRS 16) of approximately £191m, compared to the previous guidance of approximately £198m.\nAs previously disclosed, B&M UK's like-for-like (\"LFL\") sales are expected to be the principal driver of the outcome within this range, for which we reaffirm our assumption of a second half UK LFL percentage growth rate of between low-single-digit negative and low-single-digit positive levels.\nThe Group continues to expect that with LFL growth, future adjusted EBITDA margins for B&M UK can stabilise at low-double-digit percentage levels over the medium term.\nThe Board intends to commission a comprehensive third-party review of this matter.\nMike Schmidt, Chief Financial Officer, has advised the Board of his intention to step down from the Board and his role as CFO. A search for his successor has commenced and Mike Schmidt will remain with the company until a replacement is in place to ensure an orderly transition. The Board wishes Mike well for the future.\nA further update on this matter will be provided alongside the Group's interim results, which are scheduled ...