The DIY retail sector continues to struggle with low customer buying interest. The listed company HORNBACH Holding, which is listed in the SDAX, remains pessimistic for the current fiscal year. The forecasts for sales in the next twelve months are slightly below the previous year's value of around 6.3 billion euros, the company announced on Wednesday in Bornheim.

The adjusted operating profit (adjusted EBIT) is expected to be at the lower end of the target range already lowered in September. CEO Albrecht HORNBACH had announced a decrease of 10 to 25 percent at the time, which corresponds to a value of approximately 218 to 261 million euros. Analysts from Bloomberg expect an average of 228 million euros.

In the third quarter of business, until the end of November, the company recorded a decrease in sales of four percent compared to the same period last year, which corresponds to a value of nearly 4.9 billion euros. The adjusted operating profit fell by almost two percent to 48.1 million euros. However, the net profit increased by around ten percent to 29.3 million euros. Despite the tense situation, CEO HORNBACH is satisfied because the company was able to continue expanding market share outside of Germany.

Warburg Research reaffirms its buy recommendation for HORNBACH Holding's stock with a target price of 98 euros. In a recent study, analyst Thilo Kleibauer praised the improved results of the third business quarter and emphasized the efficient cost management of the company. However, the stock temporarily declined by 0.32 percent to 61.70 euros in Xetra trading.

The ongoing reluctance of customers to make purchases puts the DIY store industry under pressure. The HORNBACH Holding is also affected by the economic situation and gives a pessimistic forecast for the current fiscal year. Sales are expected to be below the previous year's value of €6.3 billion and the adjusted operating profit will be at the lower end of the target range.

Despite the difficult situation, CEO Albrecht HORNBACH is satisfied with the achieved results. In the third quarter, the company recorded a four percent decrease in sales and a nearly two percent decrease in adjusted operating profit. However, net profit increased by ten percent, which can be attributed to effective cost management. HORNBACH also emphasizes that the company was able to successfully expand its market share outside of Germany.

Warburg Research maintains its recommendation to buy HORNBACH Holding shares and sets a price target of 98 euros. In a recent study, analyst Thilo Kleibauer praises the improved results in the third quarter and acknowledges the company's efficient cost management. However, the stock temporarily declines by 0.32 percent to 61.70 euros in XETRA trading.

Crises are often seen as an opportunity for certain industries. Even at HORNBACH, the ongoing crisis is seen as a chance for DIY enthusiasts to tackle their projects. Despite the low purchasing interest from customers and the pessimistic forecast for the current fiscal year, the company remains confident in expanding its market position.