news B&M demonstrate strong performance during Covid-19


B&M has been one of the stronger retail performers during the Covid-19 pandemic. B&M is classed as an essential retailer in the UK so it has been able to stay open during the second lockdown. It operates discount retail stores in the UK and France, which sells food and drink, housewares, textiles, garden products, electricals and DIY goods. The French stores trade under the Babou brand. There are also more than 275 Heron Foods convenience stores in northern England. It has been said that the


underlying EBITDA will be better than previously indicated.The interim figure is likely to be £285m. Group revenues were 25% ahead with like-for-like growth of 23% for the UK stores during the period. More has been spent each time people visit a store. Nine new UK stores were opened in the first half, although eight older stores were closed. There could be up to 45 stores opened in the UK in the current financial year. A full year pre-tax profit of £425m is forecast, up from


£243m last year. If third quarter trading remains strong and B&M has a good Christmas there could be scope for an upgrade. The share price has


performed strongly this year and it has increased by 30% since the beginning of 2020. It is also more than double the low point in the middle of March. At 534.6p, the market capitalisation is £5.35bn. The forecast multiple for the current year is 16, which still does not seem high given the positive trading there has been.


Family-run manufacturer sold to mystery buyer


Pendeford Housewares, who sell their products to retailers in the UK and Europe, some of which include TK Maxx and Amazon, has been acquired. The unnamed purchaser was provided with an invoice finance facility by Aldermore bank, therefore enabling them to buy the Willenhall-based housewares manufacturer. The family run business was founded in 1958 by the vendors father. The current vendors have been running the business for over sixty years and have taken the opportunity to sell the company as they are choosing to retire. During lockdown the business saw a


J Sainsbury Plc are planning to cut almost 3,000 jobs, reported by someone close to the matter, therefore adding to the already growing employment toll the UK is currently facing in the retail industry. The supermarket chain is eliminating positions across the business, this also includes the Argos housewares


rise in new orders as people picked up home-baking and cooking as lockdown hobbies. Pendeford Housewares manufactures an extensive range of products including bakeware, microwavable plastics, ironing accessories and cookware.


With a new management team taking over the business, it has allowed for three additional roles to be created and the current 16 employees who work there have been able to retain their jobs throughout the crisis. The funding provided from Aldermore will allow Pendeford Housewares to progress and expand in ways


chain. This move will see 420 standalone Argos stores to close by March 2024, offering another knock to the highstreet. Despite this, Sainsburys have said that they will endeavour to open 150 Argos outlets in its supermarkets.


This is in addition to the bad news that has already hit Britain’s retail sector, after department-store owner and grocer John Lewis Partnership Plc said Wednesday that it will cut another 1,500 jobs as it seeks to restore profitability. In addition to the job


reductions at Argos stores, which Sainsburys bought


6 | housewareslive.net


they see fit. The additional funds will also allow them to achieve any plans to grow in the future.


James Blessed, business


development manager at Aldermore, said: “We’re delighted to have helped fund the purchase of this business at what is a critical time to be backing our SMEs in this country. Throughout the entire acquisition process there was great collaboration between all the parties involved, which made what is traditionally a complex transaction.”


Plans to cut 3,000 jobs at Sainsburys


back in 2016, there are further job losses to be expected across the fresh meat and fish counters. The effects of this year are


starting to show as retailers continue to struggle to cope with the structural shift to an increased presence in online shopping before the Covid-19 outbreak. The pandemic has accelerated the publics use of online shopping and with non-essential shops having to close on several occasions. The country saw non-essential shops closing once again throughout November to help cope with the rise in Covid-19 cases.


• HousewaresLive.net


New Garden Department and Car Park at Harts of Stur


Despite the continued uncertainty and disruption caused by Covid, it has been a busy and successful year for Harts of Stur, the fourth-generation family- owned company based in the North Dorset market town of Sturminster Newton. With many high street stores struggling to keep afloat, Harts have continued to buck the trend, embarking on an ambitious multi-million- pound expansion and redevelopment project. Early September saw the opening of their new garden department, now an integral part of the store. This light and airy space offer a much-improved customer experience with more room for permanent and seasonal displays.


The next stage of the project – the store’s new car park – was completed just in time for reopening after the second round of lockdown. This new area, on the site of the old garden shop, will provide easy access to the store with much needed additional parking spaces. The final stage of the project will see the opening of a coffee shop in early 2021.


• twitter.com/Housewaresnews November/December 2020 Debenhams closures


put jobs at risk Debenhams are set to close their stores in a big to save the high-street department store chain. In doing so there are 12,000 employees set to lose their jobs when 124 of the stores will cease trading.


Debenhams has been in administration since April and there were hopes that it would have been saved but the last remaining bidder, JD Sports, withdrew which therefore dashed any hope that the store could get back up and running. Geoff Rowley of FRP Advisory, joint administrator to Debenhams and Partner at FRP, said: “All reasonable steps were taken to complete a transaction that would secure the future of Debenhams. “However, the economic landscape


is extremely challenging and, coupled with the uncertainty facing the UK retail industry, a viable deal could not be reached.”


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