Primark reports 22 percent rise in Q3 sales

REPORT_ Primark, a part of Associated British Foods, reported a 22 percent increase in sales at constant currency for the 40 weeks

ended June 21, 2014. Group revenue from continuing operations was 2 percent below the same period last year but 2 percent ahead at constant currency.

Primark’s revenue growth in the quarter at constant exchange rates brought the year-to-date sales increase to 17 percent. This was driven by like-for-like growth, a further increase in retail selling space and superior sales densities in our new stores. Year-on-year selling space has increased by 1.0 million square feet from 9 million square feet last year. As of June 21, 2014, the group was operating from 275 stores and total retail selling space has now reached 10 million square feet. Since the half year a further nine stores have been opened including relocations in Cardiff and Plenilunio, in Spain. It now has five stores in France with three openings during the quarter in the suburbs of Paris, adding to Marseilles and Dijon which were opened in the first half. It also opened in Cologne in Germany, Nijmegen in The Netherlands, Logrono in Spain and Canterbury in the UK. A small store in Dundalk in the Republic of Ireland was closed during the period. Plans for the first store openings in the north east of the USA towards the end of 2015 remain on track.

For the full year, company expects the adjusted earnings per share to be ahead of last year, with better profit progress in retail, grocery and ingredients offsetting the adverse effects of lower sugar prices and the strengthening of sterling.