Primark on the Rise: Strong Growth in 2024

The retail giant Primark, a subsidiary of Associated British Foods, boasts an encouraging performance for the fiscal year 2024. With a remarkable 6% increase in sales, revenues climbed from £9.0 billion in 2023 to an impressive £9.44 billion. The annual results for the 52 weeks up to September 14, 2024, showed a significant 51% increase in adjusted operating profit, rising from £735 million in the previous year to £1.1 billion. The operating profit margin stood at a solid 11.7%. Additionally, operating profit also increased from £717 million last year to £1.1 billion. This positive trend is mainly attributable to the strong presence in key growth regions such as the USA, France, Spain, Italy, and Central and Eastern Europe. The UK market, Primark's largest market, also contributed significantly to this success, with sales rising by 1.0%. As of September 14, Primark operated 451 stores in 17 different markets worldwide. In the UK, the company was able to maintain its market share at 6.7%. A milestone in the expansion strategy was the first marketing campaign in the USA, focused particularly on the Greater New York area to boost brand awareness. As part of this growth strategy, Primark has signed 14 leases for new locations, including the first store in New York City's Manhattan district. For 2025, Primark aims for mid-single-digit sales growth, with the planned store expansion program expected to contribute 4% to 5% to overall growth annually. Additionally, the company managed to reduce greenhouse gas emissions within Scope 3 by 12% and within Scopes 1 and 2 by an impressive 21%, due to improved energy efficiency and the use of renewable energies. Besides Primark's achievements, the parent company Associated British Foods also recorded a 4% increase in group revenue, reaching £20.07 billion. The group's operating profit rose by 40% to £1.93 billion. The company invested a considerable £1.3 billion in innovative technologies and strategic acquisitions, with further investments planned in the near future.