• Primark revenue up 15% for 16 weeks to 25 June
  • Contributes to ABF revenues up 7%
  • Margins down on higher costs, VAT rise

Cut-price clothing retailer Primark recorded a revenue rise of 13% in the 40 weeks to 25 June, boosted by a 15% surge in the last 16 weeks of the period.

The strong sales performance helped parent company Associated British Foods (ABF) to post a revenue increase of 9% in the year to date, and an increase of 7% in the last 16 weeks.

ABF said the sales rise for Primark was driven by an increase in retail selling space and further like-for-like sales growth, with trading in continental Europe remaining strong.

But it said operating margins had reduced in the second half of the year, impacted by higher input prices and the full effect of the increase in VAT in the UK.

“Trading for the group since the half year remains on track to deliver adjusted earnings for the full year similar to last year’s very strong result,” said ABF.