Bunnings UK and Ireland’s (BUKI) total sales dropped by 13.5% in Q1 compared with the same quarter last year.
Homebase and Bunnings total sales were £211 million for the first quarter of 2018. Since July 2017, BUKI sales have fallen by 12.9% to £1.245 billion.
Wesfarmers managing director Rob Scott said: “For Bunnings United Kingdom and Ireland, better execution and improved trading results in the early part of the quarter were offset by unusually poor weather in March 2018, resulting in a decline in total sales of 6.5% (13.5% in local currency terms) for the quarter.”
Over the past nine months, there has been 24 Homebase closures and nineteen Bunnings branch openings. There now are 227 Homebase stores and 23 Bunnings stores. In February, Bunnings has revealed that up to 40 Homebase stores could be closed due to a “disappointing” performance, putting 2,000 jobs at risk.
“Retail execution standards lifted in Homebase in preparation for spring and stores are well-positioned for the arrival of the season,” said Bunnings group managing director, Michael Schneider. “Refinement of the Bunnings format is on-going with recent conversions reflecting updated range plans.”
The group’s plans to improve performance within BUKI stores include focus on store standards, inventory controls, range management and improved promotional and digital initiatives.