Retailer credits new stores as turnover rises
Discount retailer TK Maxx has credited two new store openings -- in Galway and Portlaoise -- during its last financial year with helping to boost turnover at the company's Irish arm by nearly 8pc to €141.6m in the 12 months to the end of January last.
In accounts just filed for TJX Ireland, which trades as TK Maxx, the subsidiary revealed that operating profit at its 15 outlets here climbed 7.6pc to €26.6m for the period.
Directors noted in the accounts that overall growth was driven by a strong performance in the two new outlets, which between them accounted for more than €6m in sales during the financial year.
The Galway and Portlaoise stores opened in October last year. The company has opened one extra outlet this year, in Newbridge, Co Kildare.
The accounts noted that in July this year, a high court decision was passed to close the TK Maxx store in Waterford by the end of August on the grounds that only bulky goods were permitted to be sold at the Butlerstown retail park in which the outlet was based.
The store employed 60 people and the company has been scouting for an alternative location in the city.
The group employs close to 800 people.
Excluding motor sales, the value of retail sales slumped by 19pc between 2007 and September this year as consumers reined in spending amid the downturn and fears over job security.
Last week, the company's US parent, TJX, said its third-quarter profit rose 7pc to $372.3m (€278m) but predicted that like-for-like fourth-quarter revenues would probably fall slightly. Total revenue for the period rose 5pc to $5.5bn (€4.1bn).