Record profits at Ikea after a year of global growth
Swedish retail giant Ikea has delivered record annual profits, driven by cash-strapped consumers seeking out its flat-pack furniture globally.
Alongside its results, Ikea's chief executive attacked government planning regulations in Europe for slowing down its expansion in the region, which accounts for the bulk of the group's business.
Mikael Ohlsson said it previously took between two and four years to complete the planning and construction of stores but added it now takes up to eight years.
Ikea, which was established in Sweden in 1943 by Ingvar Kamprad, grew its net profit by 8 per cent to €3.2bn (£2.6bn) over the year to 31 August. This was driven by a 9.8 per cent rise in sales to €27.6bn by its operations in 44 countries, as well as a "continued" focus on costs.
Mr Ohlsson said: "People around the world are more value conscious and appreciate beautifully designed and functional home-furnishing solutions at affordable prices.
"In financial year 2012, we managed to grow in most markets. The markets where we grew the most were China, Russia and Poland, closely followed by the US and Germany.
"We opened 11 new stores and welcomed 8,000 more co-workers."
Ikea, which has 18 UK stores, plans to open another shop in Reading but declined to provide a timeframe. The retailer cited market-share gains in the home-furnishing sector, as it grew its UK sales by 6.3 per cent to £1.23bn in 2011-12 but did not disclose profits.
Ikea UK's pre-tax profits tumbled by 34 per cent to £23.6m over the year to 31 August 2011, according to its latest accounts at Companies House.
- 1 Autistic teenager beaten up by bullies makes them watch 20-minute video about autism
- 2 Saudi preacher who 'raped and tortured' his five -year-old daughter to death is released after paying 'blood money'
- 3 Chris Moyles reportedly set to make radio comeback with new breakfast show on XFM
- 4 The Greece debt crisis explained in less than 100 words
- 5 Cristiano Ronaldo storms out of interview after being asked about possible sale of Manchester United target Sergio Ramos
Hilary Swank: Million Dollar Baby star says she turns down roles to care for elderly father
Autistic teenager beaten up by bullies makes them watch 20-minute video about autism
The Greece debt crisis explained in less than 100 words
Bastrop: The Texas town where many fear a large military training exercise will be used by President Obama to take their guns and impose martial law
Bakery sends 'horrific' version of Frozen-themed birthday cake to unsuspecting customer
More Britons believe that multiculturalism makes the country worse - not better, says poll
Osborne to cap family benefits at £23,000 – announced ahead of his post-election Budget
Nathan Collier: Montana man inspired by same-sex marriage ruling requests right to wed two wives
Forget little green men – aliens will look like humans, says Cambridge University evolution expert
Girl, 7, stares down hate preacher at Ohio festival with pro-LGBT rainbow flag gesture
Sickness and disability benefits could be reduced by £30 a week as part of £12bn welfare cuts
iJobs Money & Business
£40000 - £95000 per annum: Recruitment Genius: This is an exciting opportunity...
competitive: SThree: Are you passionate about sales?Do you have a keen interes...
£17000 - £30000 per annum: Recruitment Genius: This is an exciting opportunity...
£15000 - £17000 per annum: Recruitment Genius: This company offers a range of ...