B&Q owner expected to show profits fall due to wet weather

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B&Q-OWNER Kingfisher will reveal the effect of last year’s record rainfall on the DIY market as full-year figures on Tuesday are expected to show a hefty fall in profits.

Having seen profits surge by a fifth in the previous year, the group’s turnaround efforts were hit in 2012 after relentless wet weather affected demand for gardening and outdoor maintenance products.

But Deutsche Bank analysts believe the first quarter of the current financial year will bring some cheer and are forecasting a marked revival in like-for-like sales, up 6.5 per cent against “the softest ever comparables”.

Half-year figures from housebuilder Bellway, also on Tuesday, follow a Budget day boost for the sector after Chancellor George Osborne unveiled a package of measures designed to breathe life into the ailing housing market.

The UK’s fourth-biggest housebuilder has benefited from a shift towards family homes and away from flats, which first-time buyers are struggling to afford.

Thomson and First Choice holiday operator TUI Travel will confirm whether the recent package holiday comeback has continued when it delivers a trading update on Wednesday.

It had already sold more than a third of its UK summer holidays by the end of its last quarter, with bookings 9 per cent ahead of last year.