For the past few months, the DIY Summit team have been closely monitoring the Global Covid-19 situation and assessing the best possible circumstances in which to hold the Global DIY Summit.
While EU Authorities implement and require the highest levels of medical measures and hygiene protocols for travel, the team feel that the delivery of the world-class international event will inevitably be impacted by such travel restrictions if it were to be held this year.
With this in mind, and following close consultation with event partners, key stakeholders and hosts, the decision to postpone the 8th Global DIY Summit by one year has been taken. The new dates for the 8th Global DIY Summit are 9 to 11 June 2021 and this event will be held at Bella Centre Copenhagen.
In order to continue offering this important and anticipated event for our industry, all tickets and sponsorships for the Global DIY Summit 2020 will automatically be valid for the rescheduled event. The ticket also includes access to a brand new online networking platform which will be launched this year in early October. This online service will allow all delegates and partners to attend online seminars, masterclasses, download studies, contact and schedule 1:1 video calls with other attendees, among other benefits.
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.
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.
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
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.
Plus 8.1%, plus 7.8%, plus 6.6% – with these growth rates, the number five, the number one and the number three in the DIY trade European top 10 are setting themselves apart from their competitors. The German DIY store operator Hornbach increased net sales gained on its home market and abroad in the year 2019 to EUR 4.428 bn. European market leader ADEO from France reached EUR 21.379 bn, and OBI, market leader in Germany, made sales of EUR 6.866 bn. These figures have been established by Dähne Verlag for its Statistics Home Improvement Retail. The complete volume will be out in August – however the statistics experts at the German professional publisher, which specialises in the DIY and garden industry, have already published the ranking of the ten largest DIY store groups. Overall, the top 10 of the European DIY trade sector made sales of EUR 65.026 bn last year. That was EUR 2.880 bn or 4.6% more than the previous year.