Germany: Support for Spoga+Gafa 2020 encouraging

“We are working together with the garden sector to prepare ourselves for a new normal in daily life. We are underscoring this shared conviction under the hashtag #gardenbackstronger,” Koelnmesse says. The management of Koelnmesse has issued a further statement to exhibitors and visitors to the Spoga+Gafa show. In the statement, business division director Catja Caspary and Stefan Lohrberg, director of Spoga+Gafa, confirm: “As delighted as we are that most of the comments we’ve been getting from exhibitors and visitors have been confirmatory, we take their concerns very seriously, especially the uncertainty felt by our partners from overseas.” The feedback has encouraged the trade show management team to make the decision to let Spoga+Gafa go ahead on 6-8 September 2020 in Cologne.

Source: www.diyinternational.com

Australia: Bunnings achieves almost 20% this year

An increase in sales of 19.2 % has been reported by the Australian chain of DIY stores Bunnings for the period of January to May 2020 compared to the same period last year. In the first half of financial year 2019/2020 (1 July to 31 December 2019) the sales growth amounted to 5.8 %. In the overall financial year until now, i.e. from July 2019 to the end of May 2020, an increase of 11.3 per cent has accumulated.

Bunnings’ parent company Wesfarmers also believes the effects of Covid-19 are responsible for this growth, as customers continue to spend more time working, learning and relaxing at home.

Source: www.diyinternational.com

Germany: Hornbach reports 18% sales rise

The German DIY store chain Hornbach has reported a rapid increase in sales from its DIY stores and almost doubled earnings due to the coronavirus crisis. According to initial preliminary results, sales in the first quarter (1 March to 31 May 2020) have grown by 18.4% to EUR 1.492 bn. The operating earnings adjusted for non-operating impacts on earnings (adjusted EBIT) increased by around 90% to around EUR 160m.

The reason for the significant improvement in earnings is essentially the strong sales growth at home and abroad, reports the company. They state that in the course of the coronavirus crisis, customer demand in the stationary and online business has risen significantly since mid-March – also benefited by the pleasant spring weather in 2020.

The largest sales growths were achieved in May 2020 with plus 36 per cent (March 2020: minus 2 per cent; April 2020: plus 17 per cent), after all of the initially up to 64 Hornbach stores which were effected by official sales restrictions were reopened.

Source: www.diyinternational.com

Canada: Lowe’s Canada’s new DC will be biggest in Western Canada

Lowe’s Canada has unveiled plans to open a giant distribution centre in the greater Calgary area. The facility, which will be 1.23 million sqft in size, is expected to open in the autumn of 2021 and will represent a total joint investment of more than $120m. The DC will become part of a network supplying more than 470 corporate and affiliated stores under Lowe’s Canada’s different banners. The Lowe’s facility will reportedly be the largest leased DC in Western Canada. Construction is slated to begin this month.

Source: www.hardlines.ca

World: EDRA/GHIN launches ‘Rediscovering Your Home’ manifesto

EDRA/GHIN has launched a manifesto entitled ‘Rediscovering Your Home in a Pandemic.’ The Manifesto highlights the importance of the home for everyone and the key role the home improvement industry plays in supporting people in creating, improving and, most of all, enjoying their homes. EDRA/GHIN General Secretary John Herbert said, “The role of the home has been redefined by the lockdown; one came to realise just how important our homes are.” He went on to say, “Our DIY retailers are dedicated to supporting people in their home improvement endeavours.”

 

The full Manifesto can be read here.

 

 

Chile: Cencosud achieves small Q1 sales rise

The Chilean trade company Cencosud increased its sales in the field of home improvement in the first quarter by 0.6% compared to the same period last year. It has reported the sales volume to be CLP 286.668 bn (EUR 320m). In local currencies, sales would have grown by 13.9%. This discrepancy is primarily due to inflation in Argentina where Cencosud made sales of CLP 118.596 bn (EUR 132m). In Argentinian pesos, that was 30.0% more than in the same quarter of the previous year, however, when converted to Chilean pesos, results in a minus of 2.3%. On the Chilean home market, Cencosud made sales with its home improvement division of CLP 149.532 bn (EUR 167m) and thus an increase of 2.4%. In Colombia, sales grew by 6.2% to CLP 18.540 bn (EUR 21m), however dropped by 1.9% after adjusting for currency effects. Cencosud’s DIY sales channels are Easy and Blaisten. Since the fourth quarter of 2019, the e-commerce share in Cencosud’s DIY business has risen from 3.3% to 4.5%.

 Source: www.diyinternational.com

U.S.: Home Depot’s sees 7% rise in turnover

Home Depot’s sales rose in the first quarter, but costs related to the pandemic, such as employee bonuses and reduced hours, ate into the retail giant’s earnings. Sales rose 7.1% to USD 28.26 bn, besting estimates of USD 27.54 bn, with same-store sales up 6.4%. Net earnings dropped by 10.7% to USD 2.25 bn, or USD 2.08 per share. Analysts had forecast earnings of USD 2.27 per share.

 

Source: www.hardlines.ca

Japan: LIXIL Viva reports revenue rise

LIXIL Viva has reported higher sales and lower profits for FY2019 (ended 31 March 2020) with sales of JPY 18.5 bn (+4.2% YoY), operating profit of JPY 10.0 bn (-7.5%), recurring profit of JPY 9.3 bn (-7.1%) and net income of JPY 6.5 bn (-64.2%). It was the second year of the company’s three-year mid-term management plan and the company positioned FY2019 as an upfront investment phase in stores, digitalization and logistics. As a result, sales were 2.3 points below the plan due to voluntary sales-promotion cancellations in February and March 2020 due to the impact of the COVID-19 infection, but operating profit was 7.6 points above the plan due to an improvement in the gross margin. Comparable store sales were down 1.4%. The company is continuing with its plans to open seven new stores in FY2020.

Source: Diamond Home Center Magazine

U.S.: Lowe’s Q1 results exceed estimates

Lowe’s Cos. reported its Q1 net earnings rose 27.8% to USD 1.34 bn. Same-store sales soared by 11.2%, where analysts expected an increase of just 3.4%. Overall net sales were up nearly 11% to USD 19.68 bn, while online sales jumped by 80% as customers flocked to e-retail with restrictions in effect on in-person shopping.

 

Source: www.hardlines.ca

Germany: Hornbach anticipates higher Q1 turnover

The German Hornbach group expects significantly higher sales and earnings in the first quarter of its financial year 2020/2021 (1 March to 31 May 2020). The measures taken to contain the coronavirus pandemic meant that up to 40% of Hornbach’s DIY stores in Germany and abroad were initially affected by far-reaching restrictions imposed on sales activities by the authorities. As the spring quarter has progressed, however, it has become apparent that these coronavirus-related losses of sales are being more than offset, and to an increasing extent, by high sales at stores that remained open or have now reopened, at online shops, and at builders’ merchant outlets, an ad-hoc announcement says. Since 6 May 2020, all Hornbach DIY stores have been accessible to customers. From a current perspective, both consolidated sales and adjusted consolidated operating earnings (adjusted EBIT) for the first quarter of the 2020/21 financial year are expected to significantly exceed the previous year’s figures.

Source: www.diyinternational.com