Kingfisher bright despite weather

B&Q group Kingfisher today posted double-digit increases in first-half sales and profits despite the impact of the poor summer weather on its garden furniture and exterior decoration ranges.

There was a good performance by overseas operations, which chief executive Gerry Murphy said accounted for more than 60% of sales growth in the half.

Pre-tax profits for the six months to 31 July rose to £345.9m from £292.2m, an increase of 18.4%, or 20.7% excluding currency fluctuations, on sales up by 9.6% to £3.9bn.

Shareholders' interim dividend is boosted 10% to 3.85p.

Sales growth at B&Q accelerated from 1.7% in the first quarter to 3.2% in the second despite the weather effect.

'That's a pretty respectable result if you look at other retailers,' said Murphy.

There was strong growth in kitchens, bathrooms, electricals and joinery. Sales were ahead by 5.9%, or 2.5% like-for-like, to £2.2bn with profits 12.9% higher at £207.8m.

Overseas, the revitalisation of the Castorama chain in France continued, with profits up by 12.7% to £68.3m, on sales 7.8% higher at £827.1m.