Briscoe Group’s Limited hits home with a record year in financial sales across all platforms.
Both sales and earnings for the 26-week period ended 31 July 2016 were at record levels when compared to previous years. This is the eighth successive year of increased half-year sales and the fifth straight year of record net profit after tax for the half-year.
Briscoe Group claims that its focus now remains on doing the retail basics well.
Net Profit After Tax was $27.26 million, a 33.20 percent increase from the previous first half. Sales of $268.36 million, an increase of 10.00 percent on $243.96 million previously.
The gross margin percentage climb of 0.86 percent continues from the constant attention of inventory management, with a focus being placed on inventory availability and efficient stock movement in-store.
Earnings before interest and tax of $37.89 million were generated for the six months to 31 July 2016. This compares to $28.17 million for the same period last year and represents an increase of 34.51 percent.
Sales from homeware stores increased 7.60 percent from $158.19 million to $170.21 million. With clean inventories and a number of planned range additions for the second half, Briscoes confirm they are well positioned to continue to push for sales growth.
Sales from their sporting goods stores increased 14.42 percent from $85.77 million to $98.15 million. Most sporting goods categories performed well as promotion for the business was pushed very aggressively.
The company also received dividends of $1.20 million from its 19.9 percent investment in Kathmandu Holdings Limited during the half-year. As the largest shareholder, it continues to monitor Kathmandu’s performance closely and notes the progress management is making as it seeks to restore historical levels of profitability.
The economic outlook for the second half remains uncertain for the group. While the NZ dollar has strengthened, the issues that grow both nationally and internationally create uncertainty for the trade. The Briscoes group say their focus remains on protecting gross margins, driving sales through stock availability, controlling costs and finding new ways to promote products.
The strong first half has set a solid foundation from which to continue their positive performance in this competitive retail environment.