**Summary**
B&M European Value Retail S.A. released its Q3 FY26 trading statement on January 22, 2026, highlighting positive December sales and a downward revision of its full-year guidance due to deeper investments in future growth. The company reported a 3% like-for-like (LFL) sales growth in the UK during December, driven by strong seasonal range sell-through, particularly in FMCG and General Merchandise categories.
Key points include
1. **Revenue Performance**Group year-to-date (YTD) revenue grew 3.6% year-on-year, with Q3 revenue growth at 2.9%. B&M UK saw total revenue growth of 1.9% in Q3, despite a (0.6)% LFL decline, while B&M France and Heron Foods reported more modest growth.
2. **Strategic Investments**The company is investing in price reductions, particularly in FMCG, and clearing discontinued lines to improve stock quality and on-shelf availability. These actions are expected to impact near-term financial performance but support long-term growth.
3. **Guidance Revision**FY26 adjusted EBITDA guidance was lowered to £440m-£475m from £470m-£520m, reflecting investments in pricing, clearance, and the underperformance of Heron Foods.
4. **Operational Updates**The "Back to B&M Basics" initiative is progressing, with FMCG SKU count reduction and stock availability improvements moving towards full implementation across UK stores in FY27. A third-party review of IT systems and balance sheet controls has been completed, with recommendations being implemented.
5. **Future Outlook**The company remains confident that its actions will restore sustainable LFL growth at B&M UK within 12-18 months, laying the foundation for future growth.
The statement emphasizes B&Ms commitment to long-term value creation through strategic investments, despite near-term financial challenges.