Discount retailer Poundland has announced a 12% increase in half-year profits to £9.3 million as it gears up for the crucial Christmas trading period. Total sales in the first half were up 15%, as strong momentum reported in July carried through the first half.

The chain also saw strong expansion in the period, increasing its estate in the UK are Ireland by 28 stores and revealing that there is a “strong” store opening pipeline for 2016 building on a planned 60 net new stores in the region in 2015.

Jim McCarthy, chief executive of Poundland, said: “I am pleased to report further growth in both sales and profits in the first half of the year. In addition to strong trading in the UK, our international expansion plans are well underway with three multi-price Dealz stores now open and trading well in Spain.”

“As the structural changes in UK retail continue to redraw the landscape, we are building our reputation for offering amazing value every day to our customers an d substantially broadening our appeal.”

“While our full year outcome, as always, is dependent on delivering a good Christmas for our customers, I remain confident of further progress throughout the year.”