Jewellery retailers have seen the second-highest lift in sales across Vicinity Centres’ shopping centre portfolio in the third quarter of FY25.
In an quarterly update to investors, Vicinity Centres – which manages retail centres such as Chadstone, Emporium Melbourne and the Queen Victoria Building – reported that jewellery sales in the latest quarter were up 9.4 per cent, just behind leisure sales in the top spot, up 11.5 per cent.
It comes as apparel and footwear sales fell 0.9 per cent in the same time frame, a slip from the second quarter which was then up 3 per cent.
In moving annual total (MAT) terms, fashion sales fell 0.6 per cent in the year to March 2025, with half year growth just up 1.1 per cent to March 2025.
This all comes as total retail portfolio sales lifted 2.4 per cent in the third quarter of FY25, down from 2.7 per cent in the second quarter.
Specialty stores recorded flat growth, with the third quarter up 1 per cent and MAT sales to March 2025 up just 0.3 per cent.
Meanwhile, MAT sales in department stores were down 0.9 per cent, while up 5.2 per cent in the third quarter.
Vicinity Centres said the overall retail sales lift in the third quarter was likely supported by positive shopper sentiment following the Reserve Bank of Australia’s decision to reduce the official cash rate by 25 basis points in February, as well as continued moderation of inflation, and strong employment.
“Positive growth in 3Q FY25 delivered despite adverse impact of the timing of Easter in 2025 (i.e., Easter falls in 4Q FY25 versus 3Q FY24), Cyclone Alfred in south-east Queensland and one extra trading day in 3Q FY24 arising from the leap year in 2024,” the commercial real estate company reported.
“Variation of retailer performance within consumer categories driven by increasing brand affinity by shoppers; Vicinity assets a key beneficiary of this trend following active retailer remixing activity, notably across its premium assets in FY24 and FY25.”
Despite the timing of Easter, apparel and footwear sales in the third quarter (excluding luxury) were positive, up 1.5 per cent, led by fashion accessories and footwear.
Central business district locations also continued to perform strongly, delivering 8.8 per cent sales growth across the mini majors and specialty stores.
Vicinity Centres also reported that Chadstone had returned to positive sales growth during the third quarter following an active tenant remixing and store upsizing program in FY24 and FY25 to date and with visitation to the centre significantly boosted by the grand opening of The Market Pavilion in late 3Q FY25.