Hallenstein Glasson first-half profits surge on better margins, Glassons
The company, which owns stores in New Zealand and Australia, said sales for the six months ended 1 February were $122.9million, an increase of 9.4% over the prior period, while net profit after tax climbed by 34.7% to $9.185m.
The owner of Glassons, Storm and Hallensteins chains attributed the improvement in gross margin (from 56.6% to 58.1%) to an improved exchange rate and better product cost prices achieved through negotiation.
The sales performance was supported by womenswear brand Glassons, which saw strong sales growth in both New Zealand and Australia. The company’s Australian operations were supported by the opening of 2 new stores, refurbishment of 3 stores and closure of 2 non-profitable locations.
Both Hallenstein Brothers and Storm saw a small decline in sales on the prior corresponding period.
Management said it is working on both brands and that results for the start of the winter season have been “encouraging”. In the first 7 weeks of the 2017 winter season, the retailer has seen sales increase by 5% year-on-year, while e-commerce sales continue to outperform physical stores with a 36% increase.
New CEO Mark Goddard will begin in the role mid-April.
Copyright © 2022 FashionNetwork.com All rights reserved.