OUT-OF-TOWN discount clothes retailer Matalan saw sales soar over the last half-year as shoppers took advantage of its bargain offers.

Shares rocketed 18 per cent at the Lancashire-based retailer, which operates stores in Accrington and Bamber Bridge, selling low-priced brands including Versace, Calvin Klein and Wonderbra.

Matalan charges customers a £1 fee to become a lifetime "member" before they can start shopping in the stores.

It added 567,500 new customers during the half year, bringing its database to more than 3.6 million.

The database allows the group to target homes which are not already Matalan members.

Comparable sales during the six months to July 3 were up 15.4 per cent, jumping to 25 per cent since the year-end. Total sales - taking into account new store openings - jumped 40 per cent.

Pre-tax profits for the 26 weeks were £16.4 million, up from £4.7 million for the 27 weeks to July last year.

Turnover was £149.3 million, up from £119.1 million. Chairman John Hargreaves said: "The outlook for the remainder of the year is positive in terms of core estate performance and continued growth in our membership, which should continue to deliver above average sales growth and margin contribution."

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