Year-to-date sales for the New Zealand business Briscoe Group have remained relatively unscathed despite the challenging local market, with sales dipping just 0.5 per cent to NZ$546.1 million (~A$492.7 million).
The Rebel Sport and Briscoe Homeware parent highlighted that due to the timing of its October accounting period cut-off, New Zealand’s Labour Day (Monday, October 28, 2024) sales will be recorded in the group’s November accounting period (4th quarter).
“Last year, this significant promotional day was part of the October accounting period and therefore was included in the third quarter reported sales,” the group reported.
Adjusting to include the impact of this day, year-to-date sales for the nine months to October 27 produced a sales lift of 0.53 per cent, driven by a 0.8 per cent lift in Rebel Sport and a 0.36 per cent lift in its homeware segment.
Group managing director Rod Duke called the result an “outstanding achievement” considering the current retail market.
However, he noted that despite the stronghold on sales, pressure on margins and costs continued to impact the group’s bottom line - similar to other retailers.
“We remain hopeful that the recent decreases in the OCR [official cash rate] will improve consumer confidence and increase retail spend for the final crucial quarter of our financial year,” Duke said.
“Currently we believe the group’s full-year net profit after tax (NPAT) will fall in the range of NZ$70 - NZ$77 million reflecting the high level of trading uncertainty anticipated across the 4th quarter which traditionally produces more than 30 per cent of the group’s sales revenue.
“This NPAT range excludes the previously announced one-off, non-cash tax adjustment of NZ$7.4 million booked as a result of changes to tax depreciation on commercial buildings enacted by the Government earlier this year.”