Dublin-based value clothing chain Primark has reported a full-year sales increase of 14 per cent to £858 million from £752m in 2003, with an operating profit growth of 23 per cent to £108m.

Despite price deflation at the value end of the market, new stores and extensions pushed up sales within the company, leading to a same-store sales increase of 6 per cent.

Primark currently operates 120 stores across the UK and Ireland, and is planning to open two more before Christmas and one in the New Year.

Its owner, Associated British Foods, said it also plans to take Primark into Europe with a 'small number' of stores in the Spanish capital Madrid next year.

The company said it now has more than 10 per cent of the UK's value clothing market.