Liverpool-based retailer B&M European Value Retail said on Wednesday its sales revenue increased 27.7% to £1.15 billion in the first quarter of its current financial year — the period from March 29, 2020, to June 27, 2020.

B&M is registered in Luxembourg and its shares trade in London, where its stock rose 6% on Wednesday to 421p to give the firm a stock market value of around £4.2 billion.

B&M’s UK sales revenue for the 13 week period increased 33.7% to £987.8 million, with like-for-like (LFL) sales growth of 26.9% in the quarter against a prior year comparable of +3.9%. 

B&M reported steady recovery in like-for-like customer count over the quarter “after the initial decline during lockdown, alongside significantly increased average transaction value versus the prior year.”

Heron Foods, B&M’s convenience store chain, increased sales by 21.4% to £113 million in the quarter.

Babou, its French business, generated £54 million of revenue in the quarter — a decrease of 25.7% as a result of the period in which the stores were closed.

Babou has seen positive LFL sales growth since the stores re-opened on May 11, 2020.

B&M CEO Simon Arora said: “The group has made a strong start to the financial year, with a particularly strong performance in our UK businesses, and progress now resumed in France after an 8 week closure period. 

“However, as outlined at our preliminary results for the last financial year announced on 11 June 2020, there are a great deal of uncertainties ahead.

“The safety of our colleagues and customers remains our priority whilst we work hard to continue to meet our customers’ needs in these difficult times.”