CONTINUED nationwide expansion is paying off for sofa retailer ScS.

The Sunderland company, which has opened eight new stores in the first half of the year, saw pre-tax profits leap 35.2 per cent to £5.2m in the six months to March 31. Turnover rose 35.6 per cent to £50.6m.

A flagship store in Darlington was among the eight stores to be opened, with a further five planned in the second half of the year.

The Darlington opening was a personal triumph for chief executive David Knight, 43, who was brought up in the post-war prefabs of 1950s Darlington. His mother, Alice, 80, carried out the official opening.

In the second half of the year, ScS plans to move north of the border, opening its first store on the Fort Kinnaird Retail Park in Edinburgh.

The 13 openings this year will take the company's portfolio of outlets to 50, and will put the group well on its way to achieving its target of 70 stores by the end of 2004.

Mr Knight said: "When we announced our expansion plans, we originally thought we would open between eight and ten new stores a year.

"Already we are ahead of that schedule this year, with eight new stores opening in the first half of the year alone."

He added: "I was particularly proud that my mother was able to open the new store in my home town.

"The second half of the year will see us push into Scotland, with our first store over the border in Edinburgh, which will, hopefully, be the first of many Scottish stores.

"We had been actively looking for a site in Scotland for the past six to eight months, but we wanted to make sure it was the right venue for us."

ScS employs about 700 staff, with each new store creating 15 to 20 jobs.

Commenting on the results, Mr Knight said: "These are excellent results on the back of our accelerated expansion programme, once again demonstrating our successful formula, corporate strategy and track record for producing an exciting level of profit and business growth.

"We have maintained both strong gross and operating margins, notwithstanding the opening of eight stores in this first half.

"By our year end in September 2002 we will be trading from 50 stores, putting our expansion programme well ahead of schedule."

Shareholders in the group will receive an interim dividend of 3p per share