Primark has warned that trading was “challenging” in November due to the tough retail market, but said its full-year profit forecast remains unchanged thanks to “careful” inventory management and improved margins.
In a statement released ahead of its annual general meeting today, the value retailer’s parent company, Associated British Foods, said sales and profit for the first eight weeks of its new financial year are in line with expectations.
“During November Primark trading was challenging, in a tough retail market, but with careful inventory management and improved margins, our expectation for the increase in Primark profit is unchanged,” ABF chairman Michael McLintock added.
“Primark’s selling space expansion will continue and we expect an increase in retail profit for the year. Following the opening of a store in Belfast tomorrow (8 December), we will be trading from 364 stores and a total selling space of 15.1m sq ft.”
Revenues at Primark rose 6% to £7.5bn and profits jumped 15% to £843m in the year ended 15 September 2018.