12 July 2012 10:37
Sales at Primark continued to grow, boosting its parent company Associated British Foods' revenue by 11% in the 40 weeks to June 23rd.
ABF said that Primark's strong revenue momentum continued in the quarter to June 23rd with a year-to-date sales increase of 16% at constant currency which, with the recent weakening of the euro, was 14% ahead at actual rates. This was driven by an increase in retail selling space and further like-for-like sales growth. However, the group added that, since the half year, the monthly sales pattern has seen "more variability than usual" as a result of unseasonal weather.
Trading in the UK and Ireland during the quarter was good with the exception of April when cold and wet weather led to weak sales, whilst trading in continental Europe remained healthy throughout the period. The company added that operating margins were improving in the second half, reflecting lower input costs.
Four new stores were opened in the quarter, all of which were in Spain, at Alicante, Cordoba, Valencia and Majadahonda, a suburb of Madrid.