Associated British Foods reported FY17 results for the 52 weeks ended September 16, 2017. This report focuses on the results for Primark, the company’s retail division. Revenues: Primark reported that FY17 revenues increased by 20% year over year on a comparable-week basis (FY16 was 53 weeks); revenues climbed by 13% on a constant-currency and comparable-week basis. Sales growth was driven by a strong increase in selling space and a 1% increase in comparable store sales. UK revenues increased by 10% year over year in FY17, on a comparable-week basis, and management says the company continues to significantly grow its share in the UK apparel market. Selling space: Primark has added 1.5 million square feet of selling space since the beginning of the fiscal year.It now operates 13.9 million square feet of selling space across a total of 345 stores. New stores: In FY17, the company opened 11 new UK stores, three each in Spain, France, the Netherlands, Italy and the US, for a combined total of 26 new stores. Operating margin: Primark’s 1H17 operating profit margin contracted by 170 basis points year over year to 10.0%, reflecting the effects of the weak British pound and the strong US dollar on input costs. However, as a result of improved input margin mitigation and lower markdowns, the company expects FY17 operating margin to be higher than in 1H17. FY18 outlook: In FY18, the company plans to add over 1.2 million square feet of selling space, representing an increase of 8.6% year over year. Primark will open 19 new stores, with the most space added in the UK, France and Germany. Associated British Foods reported FY17 results for the 52 weeks ended September 16, 2017. This report focuses on the results for Primark, the company’s retail division. Revenues: Primark reported that FY17 revenues increased by 20% year over year on a comparable-week basis (FY16 was 53 weeks); revenues climbed by 13% on a constant-currency and comparable-week basis. Sales growth was driven by a strong increase in selling space and a 1% increase in comparable store sales. UK revenues increased by 10% year over year in FY17, on a comparable-week basis, and management says the company continues to significantly grow its share in the UK apparel market. Selling space: Primark has added 1.5 million square feet of selling space since the beginning of the fiscal year.It now operates 13.9 million square feet of selling space across a total of 345 stores. New stores: In FY17, the company opened 11 new UK stores, three each in Spain, France, the Netherlands, Italy and the US, for a combined total of 26 new stores. Operating margin: Primark’s 1H17 operating profit margin contracted by 170 basis points year over year to 10.0%, reflecting the effects of the weak British pound and the strong US dollar on input costs. However, as a result of improved input margin mitigation and lower markdowns, the company expects FY17 operating margin to be higher than in 1H17. FY18 outlook: In FY18, the company plans to add over 1.2 million square feet of selling space, representing an increase of 8.6% year over year. Primark will open 19 new stores, with the most space added in the UK, France and Germany.