New Zealand-born fashion retailer Glassons has reported a boom in profit for its Australian market off the back of a double-digit percentage rise in sales.
The retailer’s parent company Hallenstein Glasson Holding Limited confirmed the results in a trading update, noting Glassons’ Australian sales rose 15.3 per cent to NZ$251.5 million (~A$220 million), which has also driven up net profit after tax (NPAT) in the country by 16.1 per cent to NZ$34.2 million.
The parent company confirmed the sales lift is inclusive of new and refurbished stores. Two new Glasssons stores were opened in Australia during the year, in Sunshine Coast and in Harbour Town Adelaide.
Glassons’ Werribee store in Victoria was relocated and expanded, and the Northland store in Victoria was refurbished.
“In total we now have 40 stores in Australia, and we continue to explore new store opportunities in the Australian market when the right opportunities arise,” Hallenstein Glasson reported.
Hallenstein added that it is currently working with its landlord in Australia on a new purpose-built larger warehouse with improved automation, which it claims will ensure the business is prepared for future growth. The warehouse is expected to be ready in the second half of the 2026 financial year.
The lift in Australian sales added to an overall group sales lift of 8.1 per cent for FY25 to NZ$470.7 million. This was offset by flat sales growth in its menswear brand Hallensteins and a 1.7 per cent sales lift in Glassons’ New Zealand.
The group’s gross margin was 59.3 per cent by FY25-end, relatively unchanged from 59.4 per cent in the prior year despite a continued challenging foreign exchange rate for inventory purchases, which was lower than the prior corresponding period.
The audited NPAT for the 12 months was NZ$58.4 million, an increase of 12.1 per cent, which also included a 27.4 per cent lift in NPAT in Glassons’ New Zealand arm.
Profit was offset slightly by a 36.4 per cent fall in NPAT in the Hallensteins retail brand. The group noted that while it was a challenging year for its Hallensteins brand, the second half saw encouraging improvements on the prior corresponding period.
The menswear subsidiary launched a new store concept design, starting with its new Silverdale store in Auckland in November last year, while a new store was also opened in Manawa Bay Outlet Centre in September.
“Our Queen Street store has moved to an improved location and reopened in October. At the end of July 2025, the Upper Hutt store in Wellington was closed.
“Post year end, our Hamilton central store was refurbished and reopened in September, and our Lynn Mall store will be refurbished prior to Christmas to ensure they maintain brand standards.
“In Australia, the Robina pop-up store has closed post end of year but will be replaced by a larger permanent site in November 2025. We continue to look for further opportunities as they arise in Australia.”
Meanwhile, the group’s digital sales represented 18 per cent of group revenue for the year, broadly in line with the prior period, with overall online sales growing 6.7 per cent year-on-year.
Hallenstein Glasson also reported a “solid start” to the new financial year, with group sales up 12.9 per cent, driven primarily by the Australian market and the ongoing contribution from stores opened or refurbished in FY25.
“Current trading performance should not be seen as indicative of results through the key trading months in the lead up to Christmas,” the group noted.
“In New Zealand, trading conditions remain mixed, with cost-of-living pressures continuing to impact discretionary spend across both brands despite some moderate signs of improvement.”