The high-street franchising group reported 33% year-on-year growth in total retail sales to 14.4m, with pre-tax profit rising 61% to 1.51m.

The group, which has increased its total number of outlets to 112 now from 85 in March 2004, declared its first-ever shareholders' dividend of 0.5p on earnings per share of 2.7p.

Printing.com chief executive Tony Rafferty announced plans to buy a third press costing around 1.8m for the firm's Manchester hub which will almost double production capacity. The machine is expected to be commissioned during April 2006.

"At this juncture we believe it is prudent to expand the Manchester hub before seeking an additional hub in the south of England," Rafferty said in the results statement.

A mezzanine floor will also be added to the Manchester operation, increasing production floor space by 50%.

Rafferty said that the firm was now in a position to "explore" international expansion, probably through joint ventures or master franchise arrangements.

The firm's share price dropped from 50p to 46p in early trading, but had recovered to 48.75p as PrintWeek went to press.