Hornbach Holding AG & Co. KGaA (HBH.DE) reported Friday lower first-quarter net profit, with higher energy and logistics costs tied to the Iran War weighing on margins, while EBITDA, a key earnings metric, edged up with sales growth. Further, the German DIY retailer reaffirmed its full-year 2027 guidance.
Net income for the three months ended May 31 attributable to shareholders fell 5.7 percent to 99.8 million euros or 6.24 euros per share from 105.8 million euros or 6.62 euros per share a year earlier.
EBIT slipped to 161.0 million euros from 162.6 million euros last year.
Adjusted EBIT, which strips out non-operating items, edged down to 161.0 million euros from 161.7 million euros a year ago.
EBITDA, however, rose 0.6 percent to 219.1 million euros from 217.7 million euros in the previous year.
Meanwhile, quarterly sales grew 4.9 percent to 2.00 billion euros from 1.91 billion euros last year, helped by new store openings, like-for-like growth and online retail.
Like-for-like sales growth at the HORNBACH Baumarkt was 2.8 percent on top of a 4.7 percent growth last year.
The company said the Iran War that began at the end of February 2026 and the subsequent closure of the Strait of Hormuz had significantly lifted energy, transport and commodity costs, pushing up procurement and logistics expenses. Weak consumer confidence in the EU also weighed on the quarter.
Looking ahead to the full year 2027, Hornbach confirmed the guidance it issued on May 19, 2026. The company continues to expect net sales at around or slightly higher than the 6.43 billion euros reported for the last year, and adjusted EBIT at the same level as previous year at 264.7 million euros.
The outlook reflects budgeted sales growth from new stores and online, while accounting for potential geopolitical impacts on sales and gross profit. The group also expects moderate expense increases through the year, partly dependent on ongoing collective pay talks in the German retail sector.
On the XETRA, shares of Hornbach were gaining 2.21 percent, changing hands at 79.20 euros
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