It has been reported that despite the “difficult” market, Poundland is expecting its full year underlying pre-tax profits to be in line with expectations.

Figures show that total sales rose 29.5% in the 13 weeks to 27th March, excluding Spain, as the company benefited from the addition of the 99p Stores’ portfolio.

The retailer said it had been a tough quarter for its core business, which was impacted by difficult market conditions and disruption from the accelerated pace of delivery of the 99p Stores' conversion programme.

This means that total sales, excluding Spain, rose 18.4% on a constant currency basis and on an actual currency basis, sales were up 17.9%.

Jim McCarthy, chief executive, said: "Against a tough retail background, this has been a transformative year for Poundland, strengthening further our position as Europe's biggest single-price discounter. We have added over 300 shops to our portfolio in the UK & Ireland, in particular in the South of England, substantially increasing our geographical reach and scale.

"The 99p Stores' conversion programme will complete by the end of April, at which point we expect to see the significant benefits of over 900 stores trading as one cohesive retail operation begin to materialise."