AB Foods to expand money-spinning fashion chain
Associated British Foods (AB Foods) plans to open more of its Primark stores in the US and Eastern Europe after strong growth at the fashion chain boosted full-year group profit. Primark, which accounts for about half of AB Foods’ revenue and profit, delivered robust profit growth, up 15% at actual exchange rates and confounding a broader slowdown on the British high street. Shares in AB Foods — which as its name suggests also has major sugar, grocery, agriculture and ingredients divisions — were up 2.4% by mid-afternoon in London. The company cautioned that price pressures in the global sugar market will prevent its earnings from growing in the next 12 months. The group said it is particularly pleased with Primark’s performance in the US. It opened a ninth US store in Brooklyn in July and plans to open one in New Jersey in 2019 and in Florida in 2020.
Read the company's annual report here...
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