Close
 

Smith City chairman lists short-falling of company in annual meeting

  • News
  • September 6, 2018
Smith City chairman lists short-falling of company in annual meeting

Smith’s City chairman, Alastair Kerr, has taken the time at its annual meeting to list some of the company’s short-fallings which may be responsible for its $7.2 million loss.

“What I want to make clear is that this is not going to be a quick fix,” said Kerr to the board. “Nor is it going to come cheap. Significant investment in the basic infrastructure of the business is required. We need to continue to refresh our store formats and implement modern information systems ... We also need to continue to invest in the product range and the training and development of our people.”

Chronic underinvestment, a lack of understanding of what customers want, and seriously deficient IT systems were just some of the criticisms he had. The comments come at a time where the 100-year old retailer is seeing caught in a slump; a $7.2 million after-tax loss in the year to April 2018.

“We have not been selling the products customers want and we have not been making the most of the customers that walk in the door,” Kerr claimed.

The company took a $4.9 million hit for leases on unprofitable stores it had to close, including all the appliance-only stores. And it was stung for $1.5 million by an Employment Court decision in May that staff attending so-called “voluntary” morning meetings, held in all stores before they open each day at 9am, must be paid for being there.

The retailer also announced in July this year that as part of a renewed commitment to staff, it would be paying at least the living wage of $20.55 in 2018 to all employees from the beginning of October.

Only when the company “is growing and sustainably and generating cash in excess of its investment requirements” will it start paying a dividend again, Kerr said. Dividends were suspended in June.

The shares were unchanged at 34.5 cents, having slumped 43 percent so far this year.

This is a community discussion forum. Comment is free but please respect our rules:

  1. Don’t be abusive or use sweary type words
  2. Don’t break the law: libel, slander and defamatory comments are forbidden
  3. Don’t resort to name-calling, mean-spiritedness, or slagging off
  4. Don’t pretend to be someone else.

If we find you doing these things, your comments will be edited without recourse and you may be asked to go away and reconsider your actions.
We respect the right to free speech and anonymous comments. Don’t abuse the privilege.

 
News

Diamonds in a rhinestone world: How jewellers are holding fast

Pricier products from retail’s apparel segment are often described as an ‘investment purchase’, but finance professionals would disagree on most counts – except when it ...

 
 

Come and celebrate our industry with the who’s who of retail

  • News
  • September 19, 2019
  • The Register team
Come and celebrate our industry with the who’s who of retail

Our Gem Retail Hotlist is about celebrating the vitality and innovation of New Zealand’s retail sector. Get your free ticket and join our industry’s top retailers for the networking event of the year.

Read more
 
 

The simple excitement of inflatable advertising

  • News
  • September 17, 2019
  • Courtney Devereux
The simple excitement of inflatable advertising

Our advertising landscape continues to rotate around the growth of digital and how digital can be used to further capture the attention of viewers.Yet there is one type of adverting so simple, so primal, so no-nonsense that even in this computer run society it has survived. We’re talking here, about inflatable, or balloon, advertising.

Read more
 

Social scoreboard

Zavy and The Register have worked together to create a scoreboard that compares how the top 25 traditional media advertising spenders in New Zealand have performed on social media over the past 30 days, updated in real time.

 
topics
Concept to closet
Business coverage of New Zealand Fashion Week.
Regional rollercoaster
What does retail look like in 2019 for ...
Town centres
A positive retail environment over the past 12 ...
Amazon Arrival
Keeping up with all things Amazon as it ...
The Retail Yearbook 2017
As we battle our way through the busiest ...
The future is bright
We spoke with four retailers in their twenties ...
Hospitality enhancing retail
Some think food and integrated hospitality offerings will ...
Spotlight on signage
At first glance, the humble in-store sign might ...
Red Awards 2016
The Red Awards for retail interior design celebrate ...
Auckland Unitary Plan
Auckland is changing. The Unitary Plan will decide ...
How to open a store
Sarah Dunn considers what it would take to ...
All things to all people
Kiwi retailers share their omnichannel strategies.
Rising stars
Retail's top young achievers.
Delivering on your promises
The sale isn't over until your item is ...
Retail in heartland New Zealand
Retailers keep the regions pumping, but how strong ...
Sisterhood
Women in retail help one another. We spoke ...
The changing face of retail
Shifting demographics are creating big changes in New ...
The retail yearbook
With the help of experts in the retail ...
Retail rogues
We put the spotlight on staff training. Jai ...
Here come the giants
Topshop has arrived in Auckland’s CBD, David Jones ...
From retail to e-tail
Ecommerce has become part of the way mainstream ...
Loyalty in the digital age
How are retailers maintaining loyalty? Sarah Dunn, Elly ...
Window shopping: A spotlight on social media
Sarah Dunn and Elly Strang look at how ...
The Innovators | In partnership with Spark Business
Technology is rapidly changing the retail industry as ...
 
News

Tourism’s changing landscape

When we last looked at tourism back in 2016, the general vibe was positive. Smaller town retailers were starting to again hear the hum of ...

 
 

Selling memories in the tourist market

  • Opinion
  • September 17, 2019
  • Sarah Dunn
Selling memories in the tourist market

NZ Retail editor and associate publisher Sarah Dunn invites retailers to consider the real significance of souvenirs: Tourists aren't just buying products, but keepsakes that carry their memories of a great holiday.

Read more
 

Macpac has created an online megastore

  • Technology
  • September 13, 2019
  • The Register
Macpac has created an online megastore

New Zealand outdoor equipment retailer Macpac found its website wasn’t keeping up with its $10 million plus international expansion, so it’s invested in a new site which introduces new content, accessibility and a frictionless experience.

Read more
 
Next page
Results for
Topics
Jobs
About us.

The Register provides essential industry news and intelligence, updated daily. And the digital newsletter delivers the latest news to your inbox twice a week — for free!

©2009–2015 Tangible Media. All rights reserved.
Use of this site constitutes acceptance of our Privacy policy.

Advertise
The Register

editor@theregister.co.nz

Content marketing/advertising? Email anita.hayhoe@icg.co.nz or call 022 639 3004

View Media Kit

}