Even in grocery products, where competition is fiercer than a rabid badger, ABF has managed growth of 3%. The star brand so far this year: Twinings Ovaltine. It seems the UK’s newfound love for all things British has brought about a marked increase in tea and cocoa drinkers.
Only ABF’s ingredients arm (yeast manufacture and such) has seen shrinking sales – rather ironic given the microorganism’s bloating effects. Overall, ABF has notched up revenue growth of 11%. Not bad, when you look at the fortunes of high street rival M&S…
But the UK market is a tough nut to crack, even for the mighty Primark. Of the five new stores opened in the last quarter, none were in Blighty (one was in Berlin and – interestingly, given its current economic misery – four were in Spain). There are now 237 Primark shops in total, adding up to a whopping eight million square feet of selling space.
Despite the recession at home and in the eurozone, ABF is still on target to meet its ambitious full-year profit projections. Marc Bolland take note, when it comes to fashion, the lure of cheap threads never wanes. Not even when it rains.