Matalan sees sharp rise in profits
DISCOUNT fashion and homeware retailer Matalan has posted a 30% increase in operating profits to £132.9m.
Meanwhile, revenue hit £1.12bn for the year to February 27, 2010, up 8% on the previous year (2009: £1.04bn) and EBITDA increased 29% to £186.5m (2009: £145.1m).
The Skelmersdale business, which employs around 15,000 staff, invested £12m in its store network during the year, and opened three new stores in Scotland, Manchester and Greater London, taking the UK total to 205.
It also developed its international franchise, opening in Abu Dhabi, Dubai and Jordan.
Alistair McGeorge, chief executive of Matalan said: “This has been an exciting year for us delivering very strong sales growth in what remains a challenging market.
We have benefited from our investment over the last three years in our product, our stores and our people. We remain convinced of the continuing relevance of Matalan’s offer to UK consumers and have re-commenced our store opening programme and increased our investment in our online business to reach out to new customers.”
In April the company completed a £525m refinancing, which included £300m of bank facilities, arranged by Goldman Sachs and Lloyds TSB Corporate Markets, and a £225m high yield bond issue by Matalan Finance.
