Liverpool-based B&M European Value Retail announced that Alex Russo has advised the board of his intention to retire as group chief executive and a director of the company with effect from April 30, 2025.
The company also unveiled a downgrade to profit guidance with a new range of £605 million to £625 million — lower than a previous forecast of £620 million to £650 million.
Shares of the firm fell about 2%. The stock is down about 45% for the past year.
B&M said: “The board is in the advanced stages of a recruitment process to appoint a new CEO with the support of a leading executive search firm, and will provide an update in due course,” said B&M.
The company said its remuneration committee has “exercised its discretion to allow Alex Russo to be eligible for annual bonus for the current financial year and to retain his awards under the company’s share plans.”
It said details of Russo’s remuneration, including bonus and share plan treatment, and severance terms “will be in line with his service agreement and the Directors’ Remuneration Policy approved by shareholders at the AGM in July 2024.” Further details will be set out in the FY25 Annual Report.
Updating its previously disclosed profit guidance range, B&M said: “FY25 Group adjusted EBITDA (pre-IFRS 16) is now expected to be in the range of £605m to £625m, which reflects the current trading performance of the business, an uncertain economic outlook and the potential impact of exchange rate volatility on the valuation of our stock and creditor balances which is a non-cash item.
“The company looks forward to releasing its FY25 Post Close Trading Update at the end of April 2025.”
B&M chair Tiffany Hall said: “I would like to thank Alex for his commitment, energy, dedication and hard work since joining the business in 2020 and, in particular, since becoming CEO in September 2022.
“Alex has increased our store footprint in both UK and France and driven a relentless focus on high operational standards and low costs, enabling the company to provide great products and everyday low prices to our customers whilst generating continued strong cash returns for our shareholders. We wish him well for the future.“
Russo said: “I have thoroughly enjoyed my time at B&M since joining in 2020. The business has been successfully steered through the pandemic years and is now larger and stronger with group revenues increasing by almost 50% and cash distributions to shareholders in excess of £2.0 billion during my tenure.
“It has been professionally rewarding to assemble and work with a high quality leadership team and to retire leaving growing businesses with great potential in both UK and France. I wish the Board and the leadership team every success in the years ahead.”