Pepco Group delivers strong first half results
Pepco Group, the owner of Poundland, Dealz and PEPCO, increased its first half like-for-like sales by 5.3% after seeing growth of 12.1% in its second quarter.
In the six months to 31 March, group revenue rose by 17.5% year-on-year to €2.37 billion after the PEPCO brand delivered a sales uplift of 28.9%.
While like-for-like sales at PEPCO were up 18.5% in in its second quarter and up 7.2% over the half year, Poundland like-for-likes rose by 5.9% in the second quarter and by 3.3% in the first half.
The group said its half-year underlying EBITDA is expected be within a range of €342 million to €350 million which puts it on track track to meet its guidance for the full year,.
Trevor Masters, interim chief executive of Pepco Group, said: “We are very pleased with this set of results, considering the global disruption faced by our business. We have maintained our focus on our strategic priorities, in particular our new store growth and our continued re-fit programme, both of which continue to delight our customers and deliver strong financial performances. I would also like to take this opportunity to thank the Pepco team for their resilience and commitment to serving our customers.
During the period, PEPCO saw a record 202 net new store openings, including 84 in the Western European markets of Austria, Italy and Spain.
Meanwhile, Poundland launched 33 net new stores, which marked an increase of 6.7% year-on-year.
Looking ahead, Masters said: “The market within which we operate is likely to remain volatile in the near term, due to the situation in Ukraine and ongoing global inflationary pressures. However, we have a clear and successful strategy to deliver on our sizeable long-term growth opportunities. In the absence of any further significant deterioration in the macro environment, we remain confident of delivering in line with our profit guidance.”
