Retail giant with Irish origins sees strong international performance, but dip in UK and Irish sales
Galen Weston and his wife Hilary in 2014 (Photo by Ben A. Pruchnie/Getty Images for Selfridges)PRIMARK — known as Penneys in Ireland — has reported a fall in profits, even as its global expansion strategy continues to pay dividends. Its parent company, Associated British Foods (ABF), this week announced a 10% decline in adjusted operating profit to £835 million for the six months to March, with group revenue dipping to £9.5 billion.
While the brand is gaining ground in the U.S. and continental Europe, sales in home markets in Britain and Ireland fell by 4%.
Today, ABF — the British conglomerate that owns Primark — is chaired by George Weston, Galen’s nephew.
“Primark delivered good growth in Europe and the US with continued consumer caution in the U.K.,” Weston said. “Our low-cost operating model is working well, and our focus remains on executing our growth initiatives in product, brand, digital and new markets.”
While the company expects overall sales growth in the “low single digits” for the year, new store openings in Europe and the US are expected to provide a 4–5% boost to annual revenues.
While the Primark model — offering trend-led fashion at very thin profit margins — is under pressure from rising costs and changing consumer habits, it still retains a loyal customer base.
Penneys was launched on Mary Street, Dublin, in 1969. The store was the brainchild of retailer Arthur Ryan, who remained a key figure in the business until his death in 2019.
Trademark issues forced the company to adopt the Primark name when it expanded into the U.K. in 1973. The company’s global headquarters remain in Dublin.
The Westons, whose influence spans Canadian supermarkets, British department stores and luxury Irish retail, have maintained a firm grip on the company’s trajectory. The late Galen Weston Sr — who spent much of his childhood in Ireland — was instrumental in backing Arthur Ryan’s early vision.
The Weston family’s operations began in the 1960s when Galen Weston opened six grocery stores in the Republic of Ireland. He later began operations in Northern Ireland.
In 1966, he married one of Ireland’s top fashion models, Hilary Frayne.
By the early 1970s, the Westons had opened grocery stores across the island. They then acquired Irish company Penneys, founded by Arthur Ryan in Dublin in 1969.
The Westons also bought the grocery chain Quinnsworth and acquired an interest in Brown Thomas in Dublin — which they eventually owned outright by 1981.
In 1983, an attempted kidnapping of Galen Weston, believed to involve IRA members, was foiled when gardaí from the anti-terrorist unit opened fire on a five-member gang at the family’s 200-acre estate in Co. Wicklow. Over a hundred shots were fired in the operation. The Westons were not at home at the time; Galen, then 42, was playing polo in Windsor with his friend, the then Prince Charles.
In July 2015, tragedy struck the Ryan family when son Barry (51) drowned alongside his grandson Barry Davis Ryan (21) and girlfriend Niamh O'Connor (20) in a freak accident at East Hole outside Baltimore, west Cork.
