Pepco Group delivers strong Q3 with revenue increase of 17.1 percent
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In the third quarter, Pepco Group’s revenues of 1,210 million euros resulted in year-to-date revenues of 3,582 million euros, up 17.4 percent on a constant currency basis.
The company’s third quarter revenues increased by 17.1 percent on a constant currency basis, led by Pepco delivering 28.5 percent growth with a particularly strong performance in Pepco Hungary, Czechia and Serbia in the quarter. In the Poundland Group, revenues were up 3.8 percent on a constant currency basis.
Commenting on the results, Trevor Masters, CEO of Pepco Group, said: “The Group has delivered another quarter of good progress and a resilient trading performance, driven by its successful and proven strategy.”
Pepco Group delivers positive like-for-like performance
The company reported positive like-for-like (LFL) growth of 4.9 percent with Pepco witnessing 7.3 percent LFL increase and Poundland Group 2 percent LFL growth.
When compared with the pre-Covid period of Q3 FY19, average store sales at Pepco were up 9.2 percent LFL over the quarter.
Similarly, the three-year comparison for the Poundland Group shows average store sales for Q3 FY22 were up 5.6 percent LFL compared with the pre-Covid period of Q3 FY19.
Pepco Group continues to expand retail footprint
The group has added 350 new stores this year excluding the closure of 59 Fultons stores and is on track to deliver an upgraded target of 450 net new stores in FY22.
Pepco Group opened 115 new stores in the third quarter excluding the closure of 16 Fultons stores which included 109 Pepco store openings, including 40 in the Western European markets of Austria, Italy, Spain and Germany.
The company also completed 82 store renewals in the third quarter, making a total of 668 year-to-date. In March 2022, the group launched a trial in Spain offering the full range of Pepco clothing, Pepco GM and FMCG across selected stores. After witnessing the strong demand, the company has decided to convert existing Dealz stores in Spain to Pepco stores and add the FMCG offering where space allows.