Kingfisher Share News (KGF)

B&Q and Screwfix owner Kingfisher made what it called a "solid" start to the year under new French chief executive Véronique Laury, although progress in sales and profits was halted due to European currency wobblesTotal sales of £2.6bn were down 4.6% on a reported level and up 2.7% on constant currencies. Like-for-like sales rose 0.8%.Retail profits were hit by £10m worth of currency headwinds but still rose 1.4% to £150m in the 13 weeks to 2 May.Management confirmed £88m has so far been returned as part of a £200m share buyback.Total sales rose 0.4% in France but LFLs fell 1.2% as both Castorama and Brico Depot continued to struggle slightly in a soft market. Gross margins slipped 80 basis points due to higher promotional activity.The UK and Ireland was better, with continued sales volumes growth from B&Q and 27% sales growth from Screwfix combining to lift total sales 3.1%.Although B&Q's LFLs slipped due to a fall in showroom sales as promotional activity was reduced and to focus on a new 'Every Day Great Value' campaign, UK & Irish LFLs climbed 1.6% against the very strong 10%-plus growth in the same period last year.This was thanks to a 15.4% LFL contribution from Screwfix that Laury put down to its leading omnichannel capability, new and extended trade ranges and six new outlets."We are also making good early progress with our 'ONE' Kingfisher plan to unlock our potential by creating a single, unified company where customer needs come first," said Laury as she worked on her first 'sharp' decisions "at pace", with agreements made to dispose of a quarter of the 60 B&Q stores she first earmarked for closure. A new director with responsibility for the product offer and supply chain joined May and a pilot new unified IT system was said to be on track as part of Laury's huge 10-year 'ONE' strategy. Also notable was that sales in Russia grew 38.9%, with LFLs up 31.3% reflecting strong consumer spending on durable goods in what remains an uncertain market.