Penneys-Primark cautions about outlook after strong Christmas sales          

Clothing retailer said it continued to encounter significant cost pressures

The group said Primark's revenue was £3.15bn (€3.56bn) in the 16 weeks to January 7, up 15% as it benefited from 'very strong' trading in the run-up to Christmas, with record sales in the week to Christmas Day.

Clothing retailer Penneys-Primark reported better-than-expected trading over the Christmas quarter as shoppers returned to stores, its parent Associated British Foods (ABF) has said, but cautioned economic headwinds may dent consumer spending in 2023.

After two years of pandemic restrictions, a feature of Christmas 2022 was a return of shoppers to physical stores across Europe.