Associated British Foods plc reported that its budget clothing retailer Primark has performed well once again with a revenue increase of 18 percent to £530 million and a profit increase of 20 percent to £71 million for the first half ended 24th March 2006.
The revenue increase resulted from 6 percent growth in like-for-like sales and a substantial increase in retail selling space.
The group is planning to open first Primark store in Spain, at Plenilunio outside Madrid, expected in early summer. It will be firmly established as a major high street retailer.
George Weston, Chief Executive of Associated British Foods, said, "Primark continues to perform strongly and will benefit from the heavy investment now being made in its expansion, while our hot beverages and international yeast businesses are also doing well."
Primark, a retail group in the value sector employs over 15,000 people increasing to 23,000 over the next year. It operates a total of 126 stores in both the UK and in Ireland, where it trades under the Penneys brand. It was first established in 1969 as Penneys in Mary Street, Dublin.
In the next twelve months a further 46 stores will be added, mainly those acquired from Littlewoods, with a total investment of some £700 million.
The Primark Stores are planned to open progressively from spring 2006 until early 2007.
Associated British Foods plc
marketing@alchempro.com
