Bunnings reports ‘significant’ decline in sales
Bunning’s retail sales decreased by 13.5% to £211m for the third quarter of the 2018 financial year.
The DIY retailer said the severe March weather significantly affected trading, particularly in the seasonal gardening and outdoor living categories.
However, Michael Schneider, group managing director, said “satisfactory progress has been made in regards to the focused streams of work to improve performance in Homebase stores as well as in continuing to refine performance in the Bunnings stores”.
He added: “This has included greater focus on store standards, inventory controls, range management and improved promotional and digital initiatives.
“Retail execution standards lifted in Homebase in preparation for spring and stores are well-positioned for the arrival of the season. Refinement of the Bunnings format is ongoing with recent conversions reflecting updated range plans.”
Bunnings has recently drafted in Boston Consulting Group to help advise its UK leadership as owners Wesfarmers continues to try and turnaround its UK business.
The appointment comes as Wesfarmers conducts a strategic review of Homebase/Bunnings stores following its £340m acquisition in 2016, with a decision due to be made on the business in June this year.
