Health food specialist Holland & Barrett's performance last year was the equivalent of herbal Viagra, as pre-tax profits swelled by£10 million.
In the year to September 30 2002, pre-tax profits increased by nearly 40 per cent to£36 million. Sales rose from£175 million to£186 million.
Managing director Peter Aldis sees scope to expand the eponymous chain from its existing 472-store base to between 550 and 600, but said growth was constrained by the availability of suitable sites.
More rapid expansion is foreseen for sister chain GNC, which was acquired from Dutch-owned Royal Numico in March.
Aldis said: 'We plan to grow the GNC brand. We have 50 stores and the aim is for 150 by 2006/2007.'
UK sales growth was driven by increased marketing activity and an improved promotional mix. The retailer also acquired Manchester-based wholesale brand FSC as part of the GNC deal, and is buying and packaging raw materials directly.
This year, Holland & Barrett, owned by US nutritional manufacturer NBTY, has looked to Europe for expansion. In May, it finalised the£16.5 million (£11.5 million) purchase of Ahold's De Tuinen chain in the Netherlands.
Aldis said: 'We are always looking for suitable acquisitions. However, we will be concentrating on our Dutch business this year and consolidating what we've got.'
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