Primark posts rise in pre-tax profits for Irish Penneys operations

The newly filed accounts showed revenues at the Irish retail arm increased by €51.5m, or 7%, to reach to almost €745m during the most recent financial year

The directors said that they intend to spend over €250m on the Irish market in the coming years. Picture: Marc O'Sullivan

The firm which operates the Penneys chain of outlets in the Republic of Ireland posted a jump in pre-tax profits despite a cost-of-living crisis weighing on consumers last year.

Newly filed Primark accounts showed that the company recorded a 5% increase in pre-tax profits to approximately €417m in its most recent financial year ending in September 2023.

The accounts showed revenues at the Irish retail arm known as Penneys increased by €51.5m, or 7%, in the period to reach to almost €745m.

The directors state that “Irish store trading performance was strong in the current year with higher footfall in stores being reflected through increased sales". 

The company said that the opening of the Tallaght store in Dublin in 2022 also contributed to increased sales, along with the newly expanded stores in Dundrum, Clonmel, and Galway.

The company paid out zero dividends after paying out dividends of €475m in the previous year.

The firm recorded operating profits of €381m, and net finance income of €35.2m contributed to the pre-tax profits.

The company recorded a post-tax profit of €376m after incurring a corporation tax charge of €40.5m.

Primark opened its first store in Dublin in 1969 under the name Penneys, and today aims to have 530 stores open by the end of 2026.

The directors also said that they intend to spend over €250m on the Irish market in the coming years. 

This spend will include the creation of 1,000 additional jobs and increasing the selling space in Ireland by an estimated 20%.