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Highlights

  • B&M operates stores in both the UK and France, offering a fast-growing selection of variety goods.
  • The company’s sales have grown steadily, with YoY increase of around 10.4% in H1 FY24 and approximately 8.1% for 9M FY24.
  • BME recently paid out an interim dividend of 5.10 pence per share in December 2023, with a 2% YoY increase compared to the same period last year.

B&M European Value Retail S.A. (LSE: BME), a discount retailer known for its wide range of everyday essentials at low prices, is listed on the London Stock Exchange (LSE: BME) and is part of the prestigious FTSE 100 index. It operates stores in both the UK and France, offering a fast-growing selection of variety goods.

The company’s sales have grown steadily, with a year-over-year (YoY) increase of around 10.4% in the first half of fiscal year 2024 (H1 FY24) and approximately 8.1% for the first three quarters (9M FY24). On the financial side, BME has a balance sheet with a net debt to adjusted EBITDA (pre-IFRS 16) ratio of 1.1x.

BME recently paid out an interim dividend of 5.10 pence per share in December 2023, with a 2% YoY increase compared to the same period last year. Additionally, they paid a special dividend of 20 pence per share in February 2024.

BME has plans to expand its B&M UK store network by 45 stores each year for the next two fiscal years (FY24 and FY25). The company is expecting this expansion to be profitable, generating strong cash flow.

It’s confident with forecasts showing adjusted EBITDA (a measure of profit) growing year-over-year (YoY) between 8.20% and 9.95% in FY24.

BME will continue to be a low-price leader, focusing on enhanced customer service and efficient operations.

 

Top 10 Shareholders:

Around 45.24% of the total shareholdings is held by its top ten shareholders. While Capital Research Global Investors is the biggest shareholder with ~9.19% shareholding, Fidelity Management & Research Company LLC is the second biggest shareholder with over 6.75% shareholding.

 

Stock Price Performance
BME’s stock price has dropped 0.65% in the last one month. It has declined 8.20% in the past six months. The stock’s 52-week low and high price stand at GBX 432.37 and GBX 595.43, respectively.

 

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference data for all price data, currency, technical indicators, support, and resistance levels is 22 March 2024. The reference data in this report has been partly sourced from EODHD/Others.