ASSOCIATED British Foods has confirmed it intends to add one million square feet of new Primark stores this year.

That would be ahead of the 800,000 square feet added in 2012/13 and comes as the discount fashion retailer is said to have seen further growth in underlying sales since September.

At the AB Foods annual general meeting, chairman Charles Sinclair said: "I am pleased to say that trading [at Primark] in the year to date has built upon the exceptional like-for-like growth delivered in the same period last year."

Mr Sinclair told shareholders a further reduction in profit from the AB Sugar arm was expected as prices of the commodity have been falling.

However, he said the Primark expansion plus revenue growth and margin improvements in the grocery division would offset the sugar problems.