Discount retailer The Works has announced a £7 million increase in sales.

The Sutton Coldfield-based company, which has more than 300 toy and book stores across the UK, also said EBITDA (earnings before interest, taxes, depreciation and amortization) had increased by 47 per cent to £8.2m.

Total sales rose from £134 million to £141 million for the year to 30 April 2014 with growth driven by e-commerce sales and a strong performance in key product categories. It is the seventh consecutive year of growth.

Chief executive Kevin Keaney said: "We are thrilled to be announcing such a strong set of results.

"Over the last three years, we have been gradually shifting The Works' product offering in order to become the family-friendly discount retailer we are today.

"The rebalancing of our range towards gifts, art and craft and stationery has been key to our strong sales and profit growth over the last twelve months."

During the financial year, it launched a loyalty programme which it said was the first of its kind in the discount sector and continued to expand its e-commerce platform and launched a trial of new formats in eight stores.

This included a re-branding of store fascia to '' and a redesign of store layouts to create distinct shopping zones.

Mr Keaney added: "We have been really pleased with the performance of our new format trial stores and we plan to rebrand and refresh the majority of our store estate over the next three years.

"We are also delighted with the positive impact our Together Reward Card loyalty programme has had on the frequency of visits from our most loyal shoppers."

The Works is owned by retail entrepreneur Anthony Solomon and private equity firm Endless.

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