Added to YB: 2026-06-09
Pitch date: 2026-06-05
BME.L [neutral]
B&M European Value Retail plc
-1.92%
current return
Author Info
No bio for this author
Company Info
B&M European Value Retail plc retails general merchandise products and groceries. The company operates a chain of stores under the B&M, Heron Foods, and B&M Express brand names in the United Kingdom, as well as stores under the B&M brand name in France.
Market Cap
GBP 2.1B
Pitch Price
GBP 2.09
Price Target
N/A
Dividend
4.63%
EV/EBITDA
6.25
P/E
12.72
EV/Sales
0.73
Sector
Broadline Retail
Category
turnaround
B&M (LON: BME): Profits down 26%. Shares up 24%.
BME.L (overview): FY26 rev +3.6% to £5.8bn but adj EBITDA -26% to £459m (in guided range, beat est); UK EBITDA margin collapsed 12.2%→8.6% on £52m wage/NI inflation + execution slips. Div cut 15p→9.6p; net debt -£125m, leverage 1.4x, FCF £321m. Shares +24% in 5 days to 211p post 3 profit warnings, FTSE 250 relegation. Back to Basics plan early traction (UK LFL -3.1%→-0.1%, Q4 +0.1%); France +13.4% rev, 150 stores w/ huge runway vs 799 UK; Heron weak. Jersey redomicile unlocks buybacks. Valuation TBD in Part 2.
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