Company name: Firesource
What they do: Budget retailing
The Boss: Brothers Simon and Bobby Arora
Latest turnover (?,000): 712,572
Four-year compound sales growth (%): 41
Latest Ebitda (?,000): 59,289
It is no secret that budget retail has done well out of the economic crisis, and Firesource is no different. More than two million customers shop at the company’s B&M stores every week, looking for a bargain on branded products.
Founded in 1978, B&M was acquired by brothers Simon and Bobby Arora in 2005 from private equity group Phildrew Ventures. At the time, the chain had 21 stores; today B&M has grown to more than 330 stores and employs 10,000 staff.
The company occupies more than 1 million sq feet of warehousing, which enables it to buy in bulk B&M’s modus operandi is to buy up clearance sales from manufacturers. When a brand over-produces, B&M’s purchase managers pounce on the surplus stock ? about a third of B&M’s stock is acquired this way.
Sales have tripled to ?712.6m in four years, with pre-tax profits of £59.3m.
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