Primark shows no signs of a halt in expansion of retail space and revenues
By James Young | 16th January 2020
Sales at UK Primark stores were up by four per cent over the busy Christmas period.
A trading update released by Primark's owner Associated British Foods said that Primark's continued success was largely down to its ever-increasing store count.
One of the few retailers to have no online sales platform, Primark have bucked the retail trend by opening huge stores across 15 different countries.
Their Birmingham superstore, which opened in April 2019 covers 161,000 square feet over five floors helped the chain extend its retail space from 15.1million sq ft to 15.8million in the past year.
A statement released by Associated British Foods said: "Trading at Primark has been good in this first quarter.
"Sales were 4.5 per cent ahead of last year at constant currency and 3.0 per cent ahead at actual ex-change rates. T
"his sales growth was due almost entirely to the increase in selling space. Like-for-like performance improved, driven by a marked upturn in the Eurozone.
The UK continued to perform well. Sales were 4.0 per centahead of last year, driven by a strong con-tribution from new selling space with a marginal decline in like-for-like sales for the period.
"As a consequence we delivered a further increase in share of the total clothing, footwear and acces-sories market. Trading was particularly good over November and December."
The statement added that the Primark retail estate is expected to grow further in 2020 with a total of 18 new stores planned.
"We now expect to add a net 0.9 million sq ft of additional selling space in this financial year. We expect to open 18 new stores together with a number of relocations and selling space will be reduced in a further store in Germany."
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