New Zealand fashion group Hallenstein Glassons has reported double digit surges across sales and profits in the first six months to February 1, 2026, with chairman Warren Bell saying the next six months will be hard to replicate.
The group’s total half-year sales hit NZ$275.2 million (~A$230 million), up 14.6 per cent compared to the same corresponding period last year.
Gross margin on sales was 60.9 per cent compared with 58.5 per cent in the prior corresponding period. The company noted that this improvement in margin was despite a continued challenging foreign exchange rate for inventory purchases, which was lower than the prior corresponding period.
Group unaudited net profit before tax (NPBT) was NZ$39.8 million, an increase of 32.9 per cent, with unaudited net profit after tax hitting NZ$28 million, up 32.1 per cent.
The sales surge continued in the first seven weeks of the second half, lifting 20.1 per cent, with margin tracking consistent to the first half
Hallenstein Glassons reported that the first seven weeks saw improvements across both Hallenstein and Glassons brands compared to the same prior period, though has been additionally supported by the new and refurbished stores recently added, the stronger Australian dollar and the comparative period including store closures for four days due to the Queensland Cyclone.
“While the start to the second half has been pleasing, the results to date should not be viewed as indicative of the rest of the season as we enter the more significant sale periods including Easter and School Holidays,” Warren Bell told shareholders in the update. “It will be much more difficult to replicate the current growth in the months ahead.
“We are also conscious of the current geo-political tensions and impact these can have on nearly all areas of our business going forward in a manner we currently cannot predict. The likely increase to cost of living in the markets in which we operate and interest rate increases can have a strong influence on consumers discretionary spending patterns which can directly impact sales.
“Impacts are also likely on foreign exchange, logistics and associated fuel and transportation costs, and other increased costs of doing business, all of which could directly impact our bottom-line profits. The group will continue to monitor developments and remain agile in our response.”
Within the first half results, the company shared that Glassons’ Australian sales drove the group sales surge. Sales in Australia lifted by 22.4 per cent to NZ$151.8 million, with New Zealand sales up 8.2 per cent to NZ$61.9 million.
NPBT in Australia was NZ$20.0 million, up 17.9 per cent on the prior year.
“During the first half a new store has been opened in Burwood, NSW, taking the store total to 41 stores in Australia,” Bell shared. “The Parramatta store was relocated to a new larger location, and our Castle Towers store has reopened following a refurbishment.
“We continue to explore new store opportunities in the Australian market when the right opportunities arise. Work is continuing on a new purpose-built larger warehouse with improved automation which will ensure the business is prepared for future growth. This new Sydney based warehouse is on track to be ready towards the end of the second half of the 2026 financial year.”
In New Zealand, NPBT was up 43.8 per cent to NZ$13.3 million, with Glassons’ Hamilton Central store being refurbished during the half.
Hallenstein sales, including Australia, were NZ$61.5 million for the six-month period, up 4.5 per cent, with NPBT lifting 76.2 per cent to NZ$6.2 million. Hallensteins is predominantly New Zealand, where the brand has around 40 stores, compared to around five in Australia.
During the first half, Hallensteins’ Hamilton central store was refurbished and reopened in September 2025, and its Lynn Mall store was expanded and refurbished in December 2025.
In Australia, the Robina pop-up store was closed and has been replaced by a larger permanent site in November 2025.
In late November a pop-up store was opened in Parramatta, the brand’s first store in NSW which has closed post season-end.
“We will continue to monitor how the Hallensteins Australian stores perform and consider what further Hallenstein Australian store opportunities we may want to pursue,” Bell shared.
In the e-commerce space, overall digital sales lifted to 18.1 per cent of total group sales for the six-month period, up from 17.7 per cent in the same period last year. Online sales grew overall by 16.9 per cent compared to the prior corresponding period.
The directors decided to declare an interim dividend of 29.0 cents per share, which is partially imputed at 32.7 per cent. Last year’s 24.5 cents per share were partially imputed at 40.5 per cent.