Home Bargains has announced the official opening of its new “cutting-edge” automated distribution centre. The facility is said to place the discount retailer at the forefront of distribution innovation, standing as one of the most technologically advanced centres in Europe.
Spanning approximately one million square feet, the site on the Omega Business Park in St Helens, Warrington, will operate around the clock to support 300 Home Bargains stores.
TJ Morris, the owner of Home Bargains, has invested around £400m in the development – a key step in the company’s mission to expand the chain across the UK.
The automation system, developed in partnership with WITRON, incorporates cutting-edge order picking technology. The collaboration has resulted in the most sophisticated automated distribution centre in the country, dramatically improving supply chain efficiency and redefining standards in retail logistics.
With up to 80% of stock picking now automated, the facility will support Home Bargains’ continued growth and upcoming store launches.
TJ Morris has already started work on the next Distribution centre in Doncaster, which will be a copy of the site in St Helens, with the same automated systems. The Doncaster site is scheduled to open in 2028 and will provide the capacity to deliver to a further 300+ Home Bargains stores.
The most recent accounts for TJ Morris show the discount retailer’s turnover climbed 11.7% to £4.21bn over the year to 30 June 2024. The group stated that growth was driven by new openings, store re-sites, and an increased contribution from existing sites.
Operating profits jumped 34.2% to £434.4m, while pre-tax earnings rose 35.2% to £454.8m.
Home Bargains ended the year with 617 stores, up from 594 in the previous period, with it aiming to have between 800 and 1,000 stores in the longer term.
NAM Implications:
- A one million square feet site has to grab rivals’ attention…
- ..with a £400m investment adding context to the move.
- And more to come via the next DC in Doncaster.
- Time to rethink your Home Bargains strategies?
