UK grocer Waitrose recorded an increase in operating profit during 2010 as the retailer said it achieved “among the best margins of the sector”.

The retailer announced today that for the year to 29 January, operating profit was up 3% to GBP274.9m (US$446.2m). Like-for-like sales rose 4%.

The grocery retailer said that gross sales were up 9.8% to GBP4.97bn for the year, as it attracted some 300,000 new weekly customers through “investing in value, innovative top-tier ranges, new space and formats”.

It attributed some GBP50m in incremental sales growth to its Delia Smith and Heston Blumenthal campaign that ran across advertising and online.

The retailer said it has increased its selling space by 5.7% over the year, through opening some 20 new branches and three relocations. Additionally, it said that its Welcome Break service stations are performing ahead of expectations, and that two more are planned for later this month.

The John Lewis Partnership, which owns Waitrose, recorded a 10.6% increase in operating profit to GBP431m, while gross sales were also up 10.6% to GBP784.8m.

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John Lewis chairman Charlie Mayfield said: Looking to the future, while we expect more difficult conditions for much of the year, we are confident of our plans. We have not yet seen inflation coming through at the levels reported and we remain committed to improving value for our customers in the year ahead.”

The employee-owned group also announced that staff will receive a bonus of 18%.

Click here for John Lewis’ full earnings statement.