Retailer Baby Bunting Group has reported strong revenue growth in the first half on the back of market-share gains.
The baby goods chain recorded sales of $239.1 million, up 10 per cent, with same-store sales up 6.8 per cent. Net profit after tax was $8.1 million, up by 12.2 per cent.
Online sales rose by 32.6 per cent to $56.8 million. Click and Collect sales surged 46.4 per cent and accounted for 59 per cent of online sales in areas where the company has a physical store. With so many online shoppers thus heading to stores to collect their purchases, about nine in every 10 sales by the retailer included a store visit.
The group opened new stores in Alexandria and Wagga Wagga (NSW), Shepparton (Vic) and Cairns (Qld taking the network to 64 stores in Australia.
In a results presentation, Baby Bunting’s CEO and MD, Matt Spencer indicated the company has plans to enter the New Zealand market with 10 stores. The Covid pandemic has delayed the opening of the company’s first store there, however the company’s new loyalty program – ‘Baby Bunting family’ – is complete, he said.
“Given our growth over the last two years, we will review our store network plan to assess opportunities and leverage our digital headless architecture to enhance our online experience and expand our range of products.
“As the strength of our offer grows and our customer engagement increases, we will assess the broader $5.1 billion baby goods market for the future long-term growth opportunities,” he said.