Department stores remained the weakest-performing category across Stockland’s retail town centres, with annual sales growth softer than its counterparts.
The latest data from the ASX-listed property group showed discount department stores and department stores (DDS/DS) recorded a moving annual turnover (MAT) of $608 million, up 0.3 per cent on both a total-portfolio and comparable-centre basis.
The category showed some improvement in the first quarter of FY27. Comparable sales rose 1.3 per cent against the same quarter last year, though that still trailed every other category.
DDS/DS is believed to include both premium large retailers such as David Jones and Myer, and a larger assortment of discount retailers such as Kmart, Target and Big W.
Meanwhile, mini majors led annual growth, with comparable MAT up 5.4 per cent on sales of $761 million. Growth in the category was softer in the latest quarter, at 4.5 per cent.
Specialty stores grew comparable MAT 4.3 per cent, on total sales of $1.62 billion, and 4.5 per cent for the quarter. Comparable specialty sales reached around $11,300 per square metre, which Stockland claimed was about 2 per cent above the Urbis average.
Supermarkets remained the largest category at $1.79 billion. Comparable MAT grew 3.1 per cent, and 4 per cent for the quarter.
Across the portfolio, total MAT reached $5.25 billion, up 5.5 per cent. Comparable MAT growth was 3.5 per cent, and quarterly comparable growth was 4.2 per cent.
Stockland described its essentials-based retail segment as resilient.