Marks & Spencer (M&S), the UK retailer that has opened eight stores in the Republic in the last 20 months, says it plans to continue the rate of expansion in the State in the future as demand for its products increases.
The group, which yesterday reported a 6.8 per cent increase in like-for-like fourth-quarter sales in the UK, said business in Ireland was growing faster than across the water thanks to the addition of new stores, including outlets in Dundrum, Blackrock and Galway, and strong interest in its food and furniture offerings. Irish growth is believed to be in the double digits.
"We are following the same pattern as the UK, with improving trends during the past year, but our growth is running at a far higher level," said Neil Hyslop, divisional executive for M&S Ireland.
"We are seeing good growth in our food business and dramatic growth in the home business."
He said the firm, which now employs 2,000 people in the Republic after creating 1,500 new positions in the past 20 months, will pay all full-time sales advisers a bonus of €730.
M&S, which doesn't give sales figures for Ireland, last week opened its 12th store in the Republic, bringing to 22 the number of outlets it has on the island of Ireland. This compares with 11 stores 20 months ago. Its 13th outlet in the Republic is due to open in Drogheda in June.
"We are seeing increased confidence from our customers as we get more of it right," said Mr Hyslop. "The pace of growth is not going to let up."
The company, which has in recent times struggled with declining sales, yesterday said sales in the 13 weeks to the beginning of April grew by 6.8 per cent, ahead of analysts' forecasts. This compares with growth of 2.9 per cent in the third quarter.
Despite the positive results chief executive Stuart Rose urged caution saying he was pleased with the progress but that there remained a lot to do.
"The trading environment remains difficult and we do not expect this to improve in the next financial year," he said.
M&S said it expected to achieve pretax profit of £745-£755 million (€1.07-€1.09 billion) for the full year.
