Discounter Home Bargains has seen double-digit sales and profit growth for the second year in a row, newly filed accounts show.
Accounts for the full year to 30 June 2018 reveal sales rose 14.6% to £2.1bn while pre-tax profits rose 20.5% to £202.7m.
Operating profits climbed 19.8% to £201.2m.
The retailer, which sells homewares, general merchandise and ambient food and confectionery, opened 32 new stores in the period, building on an estate of about 500.
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Hannah Thomson, senior retail analyst at data analytics company GlobalData, said the results showed Home Bargains was a growing threat to mid-market homeware retailers, and also illustrated how largely ignoring online sales was proving an effective strategy for discounters.
While Home Bargains sold online, including food and confectionery in bulk buys, its offer was limited, she said.
“While Dunelm and John Lewis scramble to invest in their websites to capture online spend, this is not a priority for Home Bargains. Such investment would be costly, and boldly ignoring the online market is a strategy which evidently works for the discounters,” said Thomson.
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