Primark sales poised to break £5bn

DISCOUNT fashion chain Primark has grown profits by a further 29 per cent after a “magnificent” year in which its sales jumped to almost £5 billion.

Primark: Five billion pound sales boost. Picture: PA

Yesterday’s news of the annual profits haul of £662 million came as struggling rival Marks & Spencer was today expected to report lower half-year profits.

Associated British Foods, which owns Primark, said the retailer’s sales rose 16 per cent to £4.95bn after it opened additional stores across Europe and lifted sales at stores open for more than a year by 4 per cent.

It has built an estate of 278 stores and has more than 10 million square feet of space in locations across Europe, including 164 shops in the UK. The chain is also rolling out plans to open stores in the north-east of the United States.

Overall, adjusted pre-tax profits at parent AB Foods – which owns Ryvita and Ovaltine – lifted 2 per cent to £1.1bn as lower prices at its sugar division were offset by growth in its grocery, agriculture and ingredients units.