The clothing retailer group Hallenstein Glasson has reported a robust full year profit of $27.8 million, down only slightly on last years’ $29m, despite the Covid-19 lockdowns in New Zealand and Australia.
Online sales ballooned by 47 percent, with growth in the second half of the year 80 percent more than the same time last year.
Group managing director Mary Devine said there would be continued investment to keep up the digital momentum.
“Online sales now represent 22 percent of total sales for the full financial year G represented 30.3 percent of the total sales for the second half of the year. The growth in online sales have continued into the new financial year being ahead of last year.
“The previous investment in fulfilment centres has been effective in supporting the Groups online sales growth. There will be continued investment in digital as we continue to accelerate online sales growth and focus on an omni-channel experience for our customers,” she said.
The first eight weeks of the new financial year saw sales up 10.7 pct on the same time last year, predominantly driven by online.
Sales for its Glassons brand were up in both countries, while Hallensteins sales were down
“[Hallensteins] sales were more challenging in the second half of the year as demand for tailored product diminished with the impact of lockdowns on people working remotely and restrictions on gatherings.
“However, sales results in the casual categories are encouraging and have outperformed over the financial year.”
The Group’s margin was impacted by unfavourable exchange rates with the US Dollar in both New Zealand and Australia as well as challenges with freight costs resulting from a lack of air movement.”
Devine said despite the positive result, and encouraging start to the new year, the company would remain cautious on possible further Covid-19 outbreaks.
A full year dividend of 39 cents a share would be paid.