UK discount chain B&M's shares plunge 18% on accounting error
UK discount chain B&M's shares plunged 18% on Monday after a £7 million accounting mistake during a system update left out key shipping costs.
The error forced the company to lower its profit outlook for the year, now expecting £470-520 million instead of £510-560 million.
B&M's struggles compounded by blunder
B&M was already struggling with higher costs and tough competition in 2025, and this blunder just made things worse—shares are down 37% this year, wiping out all those pandemic gains.
Plus, their CFO Mike Schmidt is set to leave soon, adding to the uncertainty.
B&M's new CEO outlines recovery plan
To bounce back, B&M's new CEO Tjeerd Jegen is rolling out price cuts, focusing on better product choices, and planning a third-party review of the accounting issue.
The company is also bracing for flat or even slightly lower sales in the second half of the year, expecting like-for-like sales growth to be between low-single-digit negative and low-single-digit positive levels.