Sales recovery boosts Michael Hill profit
A strong sales recovery in New Zealand, Canada and the United States has helped jewellery chain Michael Hill International to an increased annual net profit of $36.5 million.
The figure is up almost 6 per cent from $34.4m for the same period last year.
The NZX-listed group today reported total sales of $511.4m for the year to June 30, a 4.5 per cent rise from $489.3m the previous year.
Domestic sales rose 7.1 per cent to $109.1m for the year while its Canadian stores saw revenues jump 14.3 per cent to $55.1m off strong same store sales.
Revenue from its US retail operations rose 12.5 per cent to $11.9m but the group acknowledged that "there is still a long way to go" before the business is proven there.
The Australian business, its largest market, proved much tougher, the group said. Sales there rose 1.8 per cent to $333.1m.
"The same store sales growth in New Zealand, Canada and the US are commendable achievements and demonstrate the strength of the Michael Hill retail system to recover from severe downturns in domestic economies," chairman Michael Hill said in a statement to the NZX.
It will focus on driving same store sales in Australia in the coming year.
Michael Hill shares were untraded at $1.09 this morning.
- © Fairfax NZ News