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Poundland sales fell to 60% of normal levels in first lockdown

One of Poundland’s flagship stores, in Stoke-on-Trent Poundland stores that stayed open in last year’s initial lockdown period saw sales plummet to 60% of normal levels, according to newly filed full-year accounts. In March, the variety discounter temporarily closed 130 stores in locations particularly affected by plummeting footfall, or near another branch. “The remaining circa 700 stores traded through significantly reduced visitor numbers, particularly in shopping centres and high street locations, at circa 60% of expected sales levels for a period of four weeks,” according to accounts from parent Pepco Group for the year ending 30 September 2020. Across the group, which includes Pepco and Dealz, sales nevertheless rose 3% to €3.5bn as store openings and strong trading in other periods helped offset the impact of lockdowns. The business opened 327 stores net in the period, taking the total across 15 countries to 3,021. Dealz – Poundland’s sister brand in Europe �

Home Bargains turnover boosted by estate growth amid pandemic

Operating profit also rose 13%, to £261m. The accounts put turnover growth down to new stores as well as relocations and improving sales at existing branches. The business had 525 retail outlets at the end of the period, up from 506 12 months earlier. “Further additions to retail outlets are planned during the year to 30 June 2021, which should lead to further growth in turnover and profitability,” said the accounts, reiterating the long-term goal of 800-1,000 stores “eventually”. GlobalData analyst Jonathan Rock said: “Home Bargains’ strong results bodes well for its performance in the pandemic, as this period included the devastating initial lockdown period. “Its online platform grants it a significant advantage over rival B&M, and may have helped it achieve similar levels of runaway success that B&M has enjoyed throughout the pandemic.

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