Briefs
Hallenstein profit hit
AUCKLAND: Hallenstein Glasson Holding is bracing for a net profit fall of between 13 and 18 per cent for the half-year to February 1. While menswear chain Hallensteins and value chain Storm recorded sales growth over December/January, womenswear retailer Glassons experienced tough trading conditions in New Zealand and Australia. Chief executive Stephen Timms attributed the fall to intense competition for market share across both markets. The group predicted net profit for the six months to be between $7 million and $7.4 million, a fall on the $8.55 million generated a year earlier. Hallensteins sales were up 3.5 per cent between August and January 23, with same store sales up five per cent. Storm also lifted sales 28.5 per cent or 5.2 per cent same store. Glassons New Zealand sales meanwhile fell by 5.4 per cent while Glassons Australia fell nine per cent.
Sydney Airport lifts off
SYDNEY: Sydney Airport has recorded a 12 per cent rise in annual earnings, with gross earnings of $773.3 million in calendar 2010. Retail revenue for the year grew by 10.5 per cent, with the rise attributed to 7.8 per cent passenger growth and fresh retail offerings. Sydney Airport chief executive Russell Balding said passenger growth was particularly strong from the Chinese market, while the strong Australian dollar and economy saw increased outgoing international traffic. Fashion retailers at Sydney Airport include Billabong, Oroton, Nine West and French Connection.
Australia hits Luxottica
NATIONAL: Italian eyewear giant Luxottica has drawn a record-breaking group sales result of $7.9 billion for 2010, on the back of “growing confidence” among US consumers and strong sales of its premium and luxury ranges. The company, which attributes 60 per cent of its revenues to the US market, expects its gross consolidated earnings for fiscal 2010 to grow by 20 per cent, exceeding $1.4 billion. It also predicts consolidated net income to be in line with expectations, growing by 35 per cent to $554 million. However, retail growth was constrained for the year, with a mild 5.9 per cent rise attributed to negative sales in Australia. Luxottica expects the market, which accounts for about 10 per cent of its total sales, to record more positive growth in 2011.