Primark hit by weather

The value fashion retailer said like-for-like growth had been held back because of the poor weather in April and tough comparatives from the warm April the year before. The early fall of Easter also affected Primark’s like-for-like sales, although the retailer did not disclose a figure.

In the 40 weeks to June 21, total sales at Primark soared 20 per cent.

In a statement, Associated British Foods, which owns Primark, said: “Trading for the group since the half year has been in line with our expectations. Continued high commodity costs and substantial increases in energy prices are a significant feature of the trading environment.”

Associated British Foods continued: “Difficult economic conditions are having an impact on consumer demand.” However, it added that, with the exception of its sugar business, it expects profit in the rest of the group to “show progress in the second half”.

As of June 21, Primark was trading from 179 stores with 5.2 million sq ft of trading space. Since the half year, Primark has opened a further four stores in Spain, taking its total in the country to eight. It will open another two in Spain and one in the UK in Derby by the end of the year.