Primark has reported a sales decline in the UK and Ireland, but the rest of its key markets showed growth.
In the 24 weeks to March 1, the retailer saw sales grow 1% to £4.5bn on a constant currency basis, which it said was “underpinned by our strong customer value proposition and the successful execution of our store rollout programme”.
Adjusted operating profit increased 8% on a constant currency basis to £540m.
Spain and Portugal saw sales grow 8%, France and Italy increased 4%, Central and Eastern Europe grew 21%, US sales grew 17% and Northern Europe increased 1%. A lot of the growth was driven by new store openings.
In the UK and Ireland, sales decreased 4%, which reflected the low consumer sentiment and lack of seasonal purchasing in autumn due to the weather.
Its click-and-collect service is building momentum as it makes more product ranges available online.
Primark owner Associated British Foods (ABF) said it will continue to target low-single digit sales growth for the full year, driven by its store rollout programme.
There have been “early signs of improvement” to UK trading in recent weeks, and it expects the adjusted operating profit margin in 2025 to be “broadly in line with last year’s level”.
It is also continuing the search for a permanent chief executive following the resignation of Paul Marchant.
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