Poundworld sales up 55%
Poundworld saw its sales increase by 55% to £206.5 million in the year to 31 March as the single price retailer followed a judicious store expansion programme.
The company, which also operates Discount UK, now has 200 stores in the UK and plans to increase this number to 260 outlets by 2014 thereby creating 1,800 jobs. It will also continue to open more Discount UK stores in the coming year.
Poundworld’s operating profit before exceptional items rose by 14% to £4.7 million but pre-tax profit fell from £3.9 million to £2.8 million.
In the company’s accounts, Poundworld’s directors said: "Against a backdrop of continuing economic uncertainty the retailing environment in the UK remains challenging, but also presents an opportunity to acquire individual sites or bundles of stores on favourable terms.
"Management is confident that the ongoing store expansion programme will deliver significant cash and profit benefits to the business, but in the short term, performance has been adversely affected as stores have opened outside of the peak trading period.
"The benefit from these stores should be seen in next year’s results."
Poundworld said it also plans to continue the trial of its new convenience format Poundworld Express.
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