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HomeNEWSMichael Hill warns weak Australian market will affect full year result

Michael Hill warns weak Australian market will affect full year result

Australia has continued to be a difficult market for the company to break into.

Its same-store sales were down 2.1 percent to A$220.8 million in the 9 months ended March 31. For its all-store sales, sales were down 1 percent to A$229 million.

Its second biggest market, New Zealand, was up 4.8 percent from the same period the previous year to NZ$87.3 million.

Same-store sales in Canada rose 15.5 percent in all stores to C$60.6 million.

The United States, where Michael Hill recently advertised on the biggest platform available, the Superbowl, had sales rise by 14.2 percent.

It is still the country that brings in the lowest revenue, at US$7.1 million.

Same store sales growth overall grew 0.9 percent to $A358 million.

The company’s overall half-year profit was A$23.7 million, up 45.9 percent.

The retailer has almost 287 shops worldwide and hopes to have 1000 stores open by 2022.

It opened 11 new stores and closed two stores during the first nine months of the fiscal year.

Chairman Michael Hill remains optimistic and says that management is focused on fixing the downward trend in Australia.

He says that there is still another quarter to go before the full-year result.

The group says it is continuing to refine the Emma & Roe retail model, so the trading update doesn’t include the financial information for those stores.

Emma & Roe is a charm jewellery business launched by Michael Hill.

Two new Emma & Roe stores opened during the first nine months, taking the total to eight stores.

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