The Original Factory Shop chain expands as sales grow

DISCOUNT retailer The Original Factory Shop is planning to open 13 new stores in the run up to Christmas as sales continue to rise during the economic downturn.

The Burnley-based group, which has 91 shops, has announced record annual profits, up 16.4% to £7.65m on sales up to £82.13m from £70.2m in the 12 months to March 31.

With like-for-like revenues up 4% in the year to March 31 and remaining strong at 3.2% since then, the chain, which is run by former TJ Hughes chief executive George Foster, is planning to open 20 new stores in the next six months including 13 before Christmas.

As consumers tighten their belts, many are turning to so-called “value” retailers such as The Original Factory Shop, which sells clothing, homewares, furniture, toys, gifts and beauty products.

The group was bought for £68.5m by private equity firim Duke Street Capital last year, employs more than 1,200 people.