Primark’s sales have risen by 4% year-on-year for the 52 weeks to September 14th. However, like-for-like sales dropped by 2% for the period, and it warned that its future margins could take a hit.
Primark’s owner, Associated British Foods, reported a 3% rise in UK sales despite an overall drop in clothing sales. Eurozone sales were up by 5%, driven by Spain, France, Italy and Belgium.
The retailer put its sales growth down to its recent rapid expansion, which included the opening of Primark’s largest-ever store in Birmingham, and 14 new store openings, which added 950,000 square foot of retail space. \
Like-for-like sales in the UK were down by 1% and Eurozone like-for-like’s down by 3%.
The retailer is still moving forward with its expansion plans, with 1m square foot of retail space set to open in its next financial year. There are planned openings in Paris, Calais, Milan, Barcelona and Rotterdam, as well as its first store in Poland opening in Warsaw in 2020.
