B&M European Value Retail SA on Tuesday declared a special dividend as sales rose by 5% on a year before in its ‘golden quarter’, the 13 weeks leading up to Christmas.

The Luxembourg-headquartered variety goods retailer said it is on track to open 76 new stores in the current financial year, including 45 in the UK, 11 in France, and 20 in its Heron Foods arm. B&M currently has 717 stores in the UK, 122 in France, and 331 under the Heron Foods and B&M Express brands.

‘The performance across the golden quarter has been pleasing, with strong operational execution across the three businesses,’ said Chief Executive Alex Russo.

B&M said revenue in the three months from September 24 to December 23, the company’s financial third quarter, was £1.65 billion, up 5.0% from a year before. UK revenue was £1.35 billion, up 3.7%. Revenue in France was £151 million, up 11%, and revenue at Heron Foods was £144 million, up 12%.

Like-for-like revenue growth in the UK in the 14 weeks that ended December 30 was 1.2%.

In the financial year to date total revenue was £4.19 billion, up 8.1% on a constant currency basis. B&M UK revenue was £3.40 billion, up 6.3%; B&M France revenue was £383 million, up 20%; and Heron Food revenue was £416 million, up 15%.

CEO Russo said B&M is well positioned for the full financial year, confirming guidance for adjusted earnings before interest, tax, depreciation and amortisation of £620 million to £630 million, up from £573 million in financial 2023.

B&M also declared a special dividend of 20.0 pence per share, to be paid in February.

B&M shares were down 2.2% to 549.40p each at the London open on Tuesday. The stock is up 23% over the past year.

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