Britain's biggest home-improvement retailer Kingfisher has reported stronger-than-expected fourth-quarter sales and says annual profits will be at the top end of expectations.
Group like-for-like sales rose 4.5 per cent in the 13 weeks to January 31st, up from 3.6 per cent growth in the third quarter. Total sales were up 13.7 per cent to £1.647 billion.
The owner of market leaders B&Q in Britain and Castorama in France had warned that it expected trading to be slower in its fourth quarter, in part because of tough year-ago comparisons.
Shares in Kingfisher closed at 297-1/4p yesterday having underperformed non-food retailers by five per cent since the firm demerged Kesa Electricals on July 7th last year.
The shares have been held back by concerns over rising interest rates and slowing consumer demand.
The weak dollar has also dented bid hopes.
Last month, the chairman of the world's biggest DIY retailer Home Depot stamped out recurring bid speculation saying that with the euro at an all-time high against the dollar, he had could not think of a dumber time to acquire Kingfisher, the world's number-three DIY retailer.