B&M shares jumped on Thursday 12 November to a more than one-year high after the discount retailer said annual profit could rise by up to 16%, as its turnaround plan helped win back cash-strapped shoppers. The shares rose as much as 19.5% to 333.4p in morning trading, according to Reuters, after B&M forecast fiscal 2027 adjusted pre-tax profit of between £280 million and £330 million, against £284 million last year and a market consensus of about £290 million.

The forecast came with first-half results for the 26 weeks to 26 September, in which group revenue rose 3.6% to £2.85 billion and adjusted pre-tax profit increased 16.6% to £121 million, from £103 million a year earlier. Adjusted earnings per share rose 24.3% to 8.9p, while statutory pre-tax profit climbed to £115 million.

UK sales return to growth

UK like-for-like sales rose 3.2% in the second quarter, recovering from a 2.3% fall in the first, leaving half-year UK growth at 0.4%. Chief executive Tjeerd Jegen, who took over in June 2025, launched the 'Back to B&M Basics' plan in October 2025, focused on sharper prices, leaner ranges and better availability. France also grew strongly and Heron Foods recovered, the company said.

Investors had expected a fall in UK like-for-like sales, so the beat on profit and revenue — and the first full-year guidance under the new plan — drove the stock to its highest in almost 18 months, more than double its low of 164p in November 2025, according to The Grocer. B&M forecast adjusted EBITDA of £450 million to £500 million for the year, against £459 million last year, but the bottom of its profit range would still mean a small decline.