Poundland’s total sales hit £997.8m in the year to 30 March 2014

Poundland has announced a 13.3% increase in total sales for the 52 weeks ending 30 March 2014.

Sales were up to £997.8m (2013: £880.5m) as Poundland hailed the pace of its store opening programme. The UK’s biggest single-price retailer opened 70 new stores during the period, bringing its total estate to 528 stores, and said it had ambitions to open 60 new stores in the UK and Ireland per year. Poundland will also open 10 trial stores under its multi-price Dealz format in Spain over the next two years.

Poundland chief executive Jim McCarthy said the business delivered record profits during the period and is expecting underlying profits to be in line with market consensus of around £27m. “Poundland delivers amazing value to our customers every day and millions of them, across the UK and Ireland, are voting with their purses and wallets every week,” said McCarthy.

“Looking ahead, we will continue to manage the business tightly while investing in clear opportunities for future growth. We are confident in making further progress in the new financial year.”

The discount chain, which made its stock market debut with an offer price of 300p, valuing the discounter at £750m, in March, appointed JP Morgan Cazenove and Shore Capital Stockbrokers as its corporate brokers earlier this week. Shore Capital is confident Poundland’s success will continue predicting annual sales growth of 11.6% and EBITDA of 14.1% over the four years to the end of the 2017 financial year.

“With strong balance sheet support, and cash flows, we believe it is one of Europe’s most exciting retail propositions; Poundland merits a valuation alongside other leading retail growth stories in convenience, discount and online channels,” it said.