Pepco Group, owner of British variety store chain Poundland, has revealed plans to expand its store network with 400 new locations this financial year.

Additionally, the company plans to expand its Dealz brand in mainland Europe and refresh more than 1,000 existing stores in the current financial year.

The development was revealed as part of Pepco Group full-year results.

Despite the pandemic, the retailer saw its sales rise by 3% to €3.5bn, but its underlying EBITDA declined by 30.8% to €229m.

The company traded from 856 of its 1,930-store or 44% of its footprint and closed its entire portfolio in seven countries including Czechia, Slovakia and Romania.

Furthermore, Pepco successfully implemented expansion by opening the first multi-price (PEPCO) stores in Italy and Serbia the first Western European and non-EU country respectively.

Additionally, it opened 43 Poundland and Dealz brand stores in Poland and Spain during the financial year.

Pepco Group CEO Andy Bond said: “With a strengthened proposition and more customers than ever across Europe being attracted to the discount sector we believe that our future growth opportunity is now greater than a year ago.

“We now view our addressable market as being the entirety of Europe and having entered Italy and Serbia ‒ our first Western European market and non-EU country respectively ‒ we will also launch PEPCO in Spain in later in 2021, having identified a significant opportunity there after extensive due diligence.”