Primark bumps up profit 44 %

Primark bumps up profit 44 %

Irish fashion chain Primark has increased its turnover by 22 % for its fiscal year 2012/2013 to 4.27 billion pounds (some 5 billion euro). Profits even increased 44 %, thanks to good summer sales.

Good summer helps excellent results

The surge was mainly because of new store openings, but on a like-for-like basis the increase was still 5 %: a remarkable achievement, as competitor Marks&Spencer had to accept a 1.5 % drop for the first 6 months, on a like-for-like basis.

 

It believes this drop was because of the discounts it had to give to pull in customers. Primark on the other hand has stated it did not use many discounts as particularly its summer sales were marvelous. That led to a 44 % profit increase to 514 million pounds (over 610 million euro).

 

Continue the current course

The biggest contribution to the increases sales numbers was from the bigger number of stores: Primark has opened 15 new stores, resulting in a total of 257 stores.  Its second Belgian store, in Ghent, came in September, while the chain is opening a sixth Dutch store on 19 November in Eindhoven. It expects to open new stores in Venlo, Enschede and Arnhem in 2014.

 

Using the British web shop Asos, Primark had joined the world of online sales, an experiment that was halted three months later. The fashion chain has stated it has no plans of creating a web shop itself.

 

 

(Translated by Gary Peeters)

 

Questions or comments? Please feel free to contact the editors


Aldi Nord and Aldi Süd collaborate for animal welfare

18/01/2018

Aldi Nord and Aldi Süd will join forces for a unique collaboration: they will launch their own animal welfare quality mark. “Fair & Gut” (Fair and Good) will launch in Germany for poultry products, but steadily expand.

Rewe uses chocolate pudding to see how little sugar is acceptable

18/01/2018

German supermarket chain Rewe has asked its customers how little sugar they can bear. It aims to lower its private label’s sugar levels, but the consumer will decide by how much.

Lidl dials down its American ambitions

18/01/2018

Lidl had hoped to have about 100 stores in the United States by the summer, but will be forced to adjust its first-year goals. It currently has 49 stores in the United States.

Carrefour looks back on difficult year

17/01/2018

Despite an fourth quarter improvement, Carrefour experienced a very difficult year. There was no growth in Belgium either and it now all depends on CEO Bompard’s new guidelines, which will be revealed next week.

British supermarket chain Iceland gives plastic the boot

17/01/2018

British frozen food chain Iceland will be the first supermarket chain to cut all plastic packages from its private labels. By 2023, each of its 1,400 private label products will have more sustainable packaging, like cardboard and paper, alternatives to plastic.

AB InBev sells two German beers

17/01/2018

AB InBev has sold German beer brands Diebels and Hasseröder, alongside its breweries, to investment fund CKCF. The new owner wants to invest more in the two beer brands.

Back to top