THE DIY MARKET SUPPLEMENT 2019 DIY WEEK INDEX:


1. Home Bargains 2. Al Murad 3. The Range 4. Screwfi x


5. Toolstation 6. Wickes


7. Topps Tiles 8. Robert Dyas 9. Tile Giant


10. Charlies Stores 11. Taskers


12. Axminster 13. Wilkinson 14. Argos


15. Trago Mills 16. B&Q


17. Gardiner Haskins 18. B&M


19. Homebase 20. Leekes


5yr average 1,228


910 Latest year - 1 year 1,136 1,061


-2 years 562


Benchmark HOME BARGAINS ALL THE WAY - 3 years -4 years 1,449 1,933 144 427 1,434 1,808 735


516 222 341 591 679 747 492 524 581 630 483 240 355 281 293 327 472 401 118 106 52 36


40 42 -1 -5


-20


229 137 194 -9 -35 9


-31 92 92


33 19 35 17 24 71 19


19 -23 -80 131 7


-22 -8 -11 -2 21 22 13


-37 -1 -30 10 1


20 62 25 8 10


41 232 250 39 6 206 32


55 -1


22 -33 5 -23


-26 -51 -46 -16 -3 -13 -27 -73 -47 -49 127 -92 n/a n/a n/a


529 n/a n/a


Source: DIY Week analysis of fi led company accounts T


he DIY Week Index is intended to give a


snapshot of a


company’s overall trading competitiveness, and is calculated by multiplying


what we regard as the three key ratios: year-on-year sales growth, stockturn, and operating margin. Should any of these be negative – a year-on-year sales decline, or an operating loss – then the DIY Week Index score would automatically be negative too. Home Bargains’ Index score of 1,228 is simply extraordinary. In four of the last fi ve years, it has recorded a score of well over 1,000, giving a fi ve-year average way ahead of the pack. Al Murad is in second place with a fi ve-year average of 910, but this refl ects some very high scores three and four


years ago; its


performance in the last two years has been rather more modest. The Range’s average of 516 depends on a similar trend: its scores in the fi rst part of the fi ve- year period were a lot higher than in the


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latest two years. Is this a sign that these chains may be approaching maturity, and that it’s getting more diffi cult for them to maintain the rate of physical expansion? Screwfi x makes only fourth place in


this table, but does so with a remarkable level of consistency – as does its rival Toolstation, one place behind it. Topps, Wickes, Robert Dyas and Tile Giant are in the top 10, but with averages which conceal some ups and downs along the way. Charlies Stores completes the top 10 with a modest fi ve-year Index score of just 33 – but look along the line, and there’s a pattern of consistently sound performance which other retailers haven’t achieved. We haven’t tried to calculate a DIY


Week Index score for B&M, because 2013/14 (minus 4 years in the table) was a 65-week period, thus the year-on-year sales gain for that year and the following year (when it reverted to 52 weeks) are unreliable. But B&M’s average Index score over the past three years is 657, which would put it very close to the


top of the table. We also haven’t tried to calculate an Index score for Leekes, since the operating profi t in the latest accounts was hammered by the revaluation costs attached to the closure of the Coventry store. And it will come as no surprise that we haven’t tried to calculate a DIY Index score for Homebase, either; it seems a safe bet that the past two years would have been negative.


Other than Homebase, DIY market


leader B&Q has the unusual (and no doubt unwelcome) distinction of being the only retailer listed in this survey to have recorded a negative Index score in all fi ve years covered by the survey – not exactly a tribute to outgoing CEO Veronique Laury’s time at the helm. One fi nal thought: fi ve years ago, seven of these 20 companies had negative Index scores. A year later it was two out of 20, then fi ve, then seven again, and then eight in the latest accounting period. A trend? A sign of a possible impending downturn? We don’t know – it will be interesting to see what next year’s study reveals.


DIY WEEK THE DIY MARKET SUPPLEMENT 17


579 n/a 47


863 n/a


-37 -2 -16 61 5 -60


n/a


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