New Zealand company Briscoe Group has recorded a sales lift of 0.78% for full-year sales to January 28, 2024, hitting $792 million.
The company’s sporting goods brand Rebel Sport NZ led the charge, with a 1.17% improvement on the prior year, compared to its other subsidiary Briscoe Homeware, which recorded a 0.54% lift.
Unaudited sales for the second half of the year - 26-weeks to January 28 - were $422.7 million for Briscoe Group, up 1.15%, with Rebel Sport NZ continuing to lead the charge at a 1.79% lift on the prior corresponding period.
Homeware segment sales increased by 0.76% in the second half.
“To post positive sales growth across both trading segments in a year widely regarded as extremely difficult for retail trade, is an outstanding achievement,” Briscoe Group managing director Rod Duke said.
“Our business model has again demonstrated how relevant and flexible it is irrespective of existing economic conditions.
“The team’s focus on improving critical performance measures through enhanced process and technology continues to translate into improved sales, gross profit, inventories and ultimately, customer experience.”
Despite the sales lift, Briscoe Group’s net profit after tax (NPAT) for the full year is expected to be below the previous year’s record result of $88.4 million, at over $83 million.
“We believe the challenging retail environment will continue into the 2024 calendar year and do not underestimate how difficult trading will be,” Duke said. “However, we have a very strong core business which has proven to be very resilient, exciting initiatives to drive growth and an incredibly talented team which positions the Group to continue to outperform most other retailers in New Zealand.”
Meanwhile, the company’s online sales mix represented 18.72% of total group sales for the year, virtually unchanged from last year’s 18.97%.
The company also expects the final full-year gross margin to be at least 42.30%, which would result in 287 basis points (45%) of the 633 points being maintained since January 2022.
“Gross margin remains an important focus for the Group and despite increasing margin pressure from the impacts of weaker economic conditions, I’m extremely proud that we will meet our goal to protect around half of the 633 gross profit basis points gained during the 2 years ended January 2021 and January 2022,” Duke said.
Briscoe Group’s inventory will be at least $10 million under last year’s closing value of $117.8 million.