Wednesday, 21 February 2018

Homebase owner sees profits down 86.6%

The costs of overhauling UK DIY business Homebase contributed to a huge slump in profits for its Australian owner in the second half of last year.

Wesfarmers bought the retailer in 2016 and is in the process of rebranding outlets as Bunnings - a popular chain in its home market.

But the "rapid repositioning" hurt the bottom line, with profits down 86.6%.

Earlier this month Wesfarmers said 40 Homebase stores could be closed, putting up to 2,000 jobs at risk.

UK retailers are struggling in the face of rising inflation and fragile consumer confidence.
Wesfarmers confirmed that five loss-making Homebase branches were closed between July and December.

But it added it was hopeful business would improve during the UK spring and summer.

BBC        News.

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