MARKS & Spencer will shortly announce details of a £12 million expansion at one of its stores in Dublin. The British retailer, which yesterday announced record group pre-tax profits of £1.1 billion sterling, is also planning a new store in Newry.

M & S recently completed a feasibility study on expanding its Mary Street branch in Dublin. It is expected to increase its floor space at the store from 64,000 sq ft to more than 100,000 sq ft. The work is expected to be completed by September next year.

M & S, which is Britain's biggest clothing retailer, has been steadily expanding its Irish operation and has just finished extending its store in Cork. The £6 million extension will increase floor space to 54,000 sq ft.

The group, which will take a store at the new Quarryvale shopping centre, is actively seeking sites in Galway and Limerick, but has not found a suitable prospect to date.

M & S's general manager for Ireland, Mr Geoff Rowbotham, said last night that the Irish business had continued to show strong growth over the past 12 months. Commenting on the group's record profits, he said, the Irish operation had played "a significant part".

The group does not disclose separate figures for Ireland. Last year's turnover in Ireland was understood to be well in excess of £120 million.

The three Irish stores are among the group's top five stores in Europe, outside of Britain. The group has more than 30 stores outside the UK. The group currently employs 800 people here, but aims to double this figure in the next four to five years.

M & S is considering introducing additional services for customers, including retailing furniture.

Mr Rowbotham said the group's food operation was very successful last year. It sources more than £300 million of goods in Ireland, many of which are sold through its outlets around Europe.

M & S did not fear the arrival of Tesco, which has bought Quinnsworth, Crazy Prices and Stewarts, he said. The company already traded successfully alongside Tesco in Britain, he said.