B&M European Value Retail (LON:BME) Announces Quarterly Earnings Results

B&M European Value Retail (LON:BME) released its quarterly earnings data on Wednesday. The company reported GBX 16.30 earnings per share (EPS) for the quarter, Digital Look Earnings reports. B&M European Value Retail had a return on equity of 34.04% and a net margin of 4.39%.The business had revenue of GBX 577.50 billion for the quarter.

Here are the key takeaways from B&M European Value Retail’s conference call:

• B&M reported FY 2026 adjusted EBITDA of GBP 459 million, in line with guidance, but profits were down year over year due to trading margin pressure and cost inflation.
• Cash generation remained strong, with post-tax free cash flow of GBP 321 million and leverage returning to 1.4x, back within the company’s target range.
• The company said its “Back to B&M Basics” program is progressing well, with early signs of improvement in pricing, availability, range rationalization and inventory discipline.
• B&M France remained a standout, delivering 13.4% sales growth, positive like-for-likes in every quarter, and an 11.8% increase in profit to GBP 53 million.
• Management outlined a more balanced FY 2027 capital approach, targeting 25 to 35 new B&M UK openings while also investing selectively in existing stores, with share buybacks only a potential January 2027 decision.

B&M European Value Retail Stock Up 14.9%

B&M European Value Retail stock opened at GBX 195.97 on Wednesday. The business has a fifty day moving average price of GBX 170.69 and a 200-day moving average price of GBX 171.35. B&M European Value Retail has a 1-year low of GBX 140 and a 1-year high of GBX 335. The stock has a market capitalization of £1.97 billion, a price-to-earnings ratio of 7.93 and a beta of 1.09. The company has a debt-to-equity ratio of 348.52, a current ratio of 1.26 and a quick ratio of 0.38.

Analyst Upgrades and Downgrades

Separately, Citigroup lifted their target price on B&M European Value Retail from GBX 165 to GBX 180 and gave the stock a “neutral” rating in a research report on Thursday, February 5th. Five investment analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average price target of GBX 207.50.

B&M European Value Retail Company Profile

B&M European Value Retail SA operates general merchandise and grocery stores. The company operates a chain of stores under the B&M, Heron Foods, and B&M Express in the United Kingdom; and stores under the B&M brand in France. It also provides property management services. The company was founded in 1978 and is based in Munsbach, Luxembourg.