Senior execs at Poundland missed out on receiving a bonus for 2015, despite both sales and profits at the company improving last year.
The value retailer’s annual report outlines that any bonus payment is “self-funding” and “as such, this year’s underlying profit after tax achievement of £33.95m didn’t trigger payment of bonuses to colleagues.”
CEO Jim McCarthy’s salary was £448,000, up 2% from his salary at the time the company floated on the London stock market in March last year (when it was £440,000).
Poundland’s CFO Nick Hateley, and Trading Director Richard Lancaster, also didn’t receive bonuses for the last year. Both secured £331,500, up 2% from £325,000.
McCarthy et al might have better luck next year, as he seeks to consolidate the discount retail sector with Poundland’s £55m acquisition of smaller rival 99p stores. If the deal goes through, the company will secure the positon of the UK’s leading single-price retailer and add 250 stores to its 600 store-strong estate portfolio. This year Poundland surpassed the £1bn mark for the first time and is on track to reaching its target of 1,000 stores in Britain.