B&M in clover as shoppers flock to discount chain

The group posted a 25.4% increase in pre-tax profit to £229.3 million in the year to March 31, with revenue jumping 22.4% to £3 billion.

Soaring inflation caused by the collapse of the Brexit-hit pound has pushed up the price of everyday items for hard-pressed shoppers and, in these conditions, B&M has thrived.

“The B&M model is highly relevant for the current difficult economic environment, with its strong position in the value and convenience areas of retailing where physical stores are winning,” said boss Simon Arora.

“The business is well placed for continued profitable, long-term growth. In a retail sector beset by structural challenges B&M’s unique, disruptive model stands out as a success story.”

B&M also described Q1 trading as “pleasing”, with the group booking a 3.1% increase in like-for-like sales so far.

Last year B&M, which is chaired by former Tesco boss Sir Terry Leahy and sells mainly general merchandise, splashed out £152m to take over Heron Food Group, which also boosted the group’s numbers.