The company sells everything from baby beds to wide-screen TVs

The figures continue a good week for owner GUS, which also reported a rise in sales at its Homebase subsidiary.

The chain's plan to widen its range of products seems to be paying off despite tough market conditions.

"It again clearly outperformed its market and made strong share gains," GUS said.

Extension

Argos has seen revenues rise 4% during the six months ending 31 March.

DIY supplier Homebase, meanwhile, reported a 5% climb as it increased floor space and focused more on home furnishings.

The numbers from Homebase and Argos complete a run of solid performance at most of the brands which make up GUS.

The group's credit reference and business services agency, Experian, saw revenues rise 5% - or 10% before taking account of currency fluctuations.

And on Wednesday, high-end clothing subsidiary Burberry said that six-month sales jumped 13%.

"GUS has finished the year strongly, having traded well in all our businesses," said John Peace, GUS's chief executive.