Lancashire-based variety retailer B&M has seen profits surge 43 per cent to £90.6 million last year as consumers continued to favour discounters, it has been announced today.
Sales in the year to December 31st 2012 surged to £937.2 million, up 31.5 per cent on a year earlier while B&M opened 53 new stores over the period, taking the total number within its portfolio to 324.
In December last year, the discounter, which is owned by the Arora family and chaired by retail veteran Sir Terry Leahy, was sold to US private equity firm Clayton Dubilier & Rice (CD&R), which hinted that international expansion of the brand may be of interest.
Like many discounters, B&M is reaping the benefits of reduced disposable incomes as consumers favour bargains amid ongoing economic uncertainty, and the Arora brothers cemented expansion plans with ther acquisition of stores following the collapses of retailers such as Woolworths and Focus.
It is understood that CD&R bought a 60 per cent stake in the business and plans to increase B&M‘s UK store numbers to at least 400, according to The Guardian.
Simon Arora, Co-Managing Director, said of the results: “The company‘s growth is testament to the fact that everyone loves a bargain.
“Our colleagues have delivered another successful year through hard work and great teamwork.”