Home Bargains sales soar 20% to £3.3bn, boosted by store openings

New store openings helped boost Home Bargains’ revenues by 20% to £3.3bn in its latest financial year, new accounts have revealed.

The £546m boost in sales was achieved through additional retail outlets, relocations and increased contribution from existing stores, according to accounts for the year to 30 June 2021 from TJ Morris, which trades as Home Bargains.

Operating profit shot up 52% to £394m.

The business had 552 retail outlets by the end of the period, up from 525 at the end of the previous financial year.

The group also created more than 2,000 additional jobs, employing a monthly average of 27,553 people, up from 25,279 the year before.

Pre-tax profits rose by 51% to £396.7m while exceptional Covid-related costs fell from £14.4m to £6.9m.

The results said the company intended to grow its store estate more in the next financial year and reiterated Home Bargains’ ambition to eventually have between 800 and 1,000 stores.

It’s the second year in a row estate growth has boosted sales for the retailer. In the year to 30 June 2020, turnover rose by 13% to £2.8bn as 19 stores were added to the estate.