Ikea profits soar on strong kitchen sales

STOCKKHOLM: Swedish furniture giant Ikea on Wednesday announced a record annual net profit for its fiscal year 2015-2016, on strong sales of kitchen equipment and dining rooms. The group posted a profit of 4.2 billion euros ($4.5 billion), up 20 per cent from a year ago, despite having been taxed more heavily this financial year, which ended in August. Slammed by Green European lawmakers for its “aggressive tax planning strategy”, the Ikea Group said it paid 1.2 billion euros in corporate taxes worldwide, a tax rate of 21.6 per cent compared to 18.9 per cent the previous year. The Dutch Ikea Group already reported in September that its turnover had jumped by 7.1 per cent to 34.2 billion euros. — AFP