Discount retailer Savers Health and Beauty has reported a 15% increase in turnover and rising profits in its latest annual results.
The chain, which operates 19 stores throughout the North East, said turnover had increased to £247m in the year to December 28, 2013.
Savers, which sells a range of health and beauty products, household goods and medicines, also reported a rise pre-tax profits from £6.9m in 2012 to £9.02m in 2013.
In the firm’s strategic report Savers said it would now “cautiously expand” its footprint in the UK, aiming to move into areas where discount retailers are under represented.
The retailer started in 1988 in the North East before it was acquired by Chinese multinational group A.S Watson in 2000.
As a subsidiary of A.S Watson, Savers has expanded aggressively and currently runs over 230 stores throughout England, Scotland and Wales.
A statement within Savers’ strategic report said: “The UK health and beauty market grew by 2.3% in 2013 to £18.74bn, predominantly through price inflation.
“The value retail sector has been through a period of change in scale and customer perception over the past six years which continued into 2013, and the sector is now considered a mainstream feature of the UK retail market.
“Consumers continue to feel the effects of a squeeze on living standards with wages failing to rise in real terms.
“This is expected to result in the continued change in shopper behaviour to one that is more willing to hunt for a good deal and value.
“Savers is ideally placed to provide this consumer with competitively priced health, beauty and household goods in a pleasant high street environment.”
The firm said that despite “aggressive price wars” within the grocery market, and the expansion of rival discounters, it was able to increase its gross margin to 28.8%.
During the year Savers increased its average monthly number of staff from 2,498 to 2,573.