Shares in Kingfisher (LON:KGF) have fallen deep into the red in today’s session, as the DIY retailer updated investors on its half-year performance, posting a drop in revenue and profits. The company suffered from a continued poor performance in France.
As of 08:34 BST, Kingfisher’s share price had given up 7.55 percent to 243.70p. The shares are underperforming the broader UK market, with the benchmark FTSE 100 index having climbed into positive territory and currently standing 0.28 percent higher at 7,320.63 points.
Kingfisher’s revenue and profits drop
Kingfisher announced in a statement this morning that its like-for-like sales had fallen 1.1 percent to £6 billion in the six months ended July 31, while its retail profit had dipped 13.5 percent to £404 million. The company noted that it had seen solid performances in the UK and Poland offset by significant weakness in France.
“There is still much to do to improve our performance in France and to remove inefficiencies within the business as we continue to transform at pace,” Kingfisher’s chief executive Véronique Laury commented in the statement, adding however, the company remained “on track to deliver our strategic milestones for the third year in a row and have put actions in place to support our performance”.
Group unveils senior management change
Kingfisher separately announced a change in the leadership of the Offer and Supply Chain organisation with Arja Taaveniku being succeeded by Henri Solère, who has worked at the DIY retailer for 11 years, holding a number of senior leadership roles within the group.
The update comes after earlier this month, the group appointed Christian Mazauric as CEO of its division in France, with Marc Tenart having decided to step down from his role.