Womenswear retailer Noni B has posted a net profit result of $0.7 million for the financial year, down from $3.9 million in 2010.
After taking into account the impairment of goodwill relating to its initial public offer in 2000 of $0.4 million, the after-tax result fell to $0.2 million.
While sales revenue was in line with 2010, drawing $117.3 million, comparable store revenue was also down one per cent.
Joint managing director David Kindl said the company will continue to refine its business in order to respond to tough market conditions, with inventory down 10 per cent compared to last year and seven underperforming stores shut in both 2010 and 2011.
"Management has been restructured, supplier terms have been improved, expenses have been reduced wherever possible and store staffing rosters have been adjusted so they are aligned more closely with demand," Kindl said.
Noni B will also launch an online store next month and expand its retail network across Western Australia and Victoria, Kindl added.
"Our most recent store, on a regional high street, had our best opening day's sales for over three years," he said. "We expect that [despite the online store] most of our customers will choose to visit our stores to receive the personal service and advice for which Noni B is well known."
The company operates 214 stores nationally across its Noni B and Liz Jordan brands.
NONI B: Holding steady in tough times.
