Poundland sales continue to surge as bargain hunters seek out best deals
Poundland has once again been bolstered by a surge in shoppers seeking out value goods, with its parent company Pepco reporting a 12.5 per cent surge in revenues in the third quarter.
Pepco Group said it reached revenues of €1.37bn (£1.17bn) as the group opened 141 new store openings during the third quarter across its UK and European markets.
Poundland Group, which operates as Poundland in the UK and Dealz in Poland and Ireland, saw like-for-like sales increase nine per cent in the third quarter.
Poudland said this surge was due to an improvement in its fast-moving consumer goods offering, such as packaged foods, beverages, toiletries, as shoppers turned to the value grocer for the best deals due to high inflation.
Its parent company Pepco saw like-for-like revenue up 9.6 per cent on a year to date basis, but was down 1.2 per cent in the third quarter due to a challenging trading environment in April and May, particularly in Central Europe.
“We remain confident of meeting our target of opening at least 550 new stores this financial year, with openings weighted towards the fourth quarter,” Trevor Masters, chief of Pepco Group, said.
“As we highlighted at our interim results in June, the macro-economic climate continues to be challenging, particularly in Central Europe, due to elevated levels of inflation.”
He added: “In addition, Pepco’s Q3 growth reflected a period where the business benefited from trading upside in the prior year driven by the influx of people from the Ukraine war into its core markets.
“Poundland Group delivered a strong trading performance in Q3, driven by consumers prioritising spend on FMCG items. Both Pepco and Poundland Group are in positive LFL growth at the start of Q4.”