Screwfix’s mobile click, pay and collect service helped it to higher sales in the first quarter of its financial year.
Sales at the multichannel retailer of trade tools grew by 24.2% to £192m in the three months to May 3. Sales were up by 12% on a like-for-like basis, as the company benefitted from strong promotions, the net opening of nine new outlets, and “the continued success of the mobile ‘click, pay & collect’ offer.”
The figures emerged as Screwfix owner Kingfisher reported its first quarter results. The company also reported higher sales at its B&Q business, where UK and Ireland sales rose by 10.5% to £1.0bn, as sales of building products and outdoor equipment grew by about 30% on the same time last year, thanks to warmer weather and a later Easter. Like-for-like sales were up by 9.7%. Kingfisher’s UK and Ireland business saw sales grow by 10.1% to £1.2bn while retail profit grew by 35.2% to £68m. But it said that gross margins were down by 200 basis points reflecting the lower margin nature of those outdoor and building products that sold well at B&Q. It also said it had felt the impact of “increased home delivery costs” linked with online shopping.
Overall, Kingfisher, which trades across Europe and in China (where sales fell by 5%), saw sales rise by 6.1% to £2.8bn, while retail profit grew by 18.8% to £142m.
