Kitchen appliance retailer Breville saw an increase in net income and revenue in the fiscal first half, driven by higher sales in Europe, the Middle East and Africa (EMEA).
The company’s net income grew 6.7 per cent year over year to $84 million as revenue rose 2 per cent to $905.8 million.
Gross margin climbed to 36.7 per cent while earnings before interest, taxes, depreciation, and amortisation jumped 12.2 per cent to $159.2 million.
The company noted that new product development performed well with Barista Touch Impress, Vertuo Creatista, and InFizz.
“The strength of our new product launches, expansion of new markets and the continuing tailwind supported top-line growth as cost of living pressures and mean reversion buffeted the business,” said Breville CEO Jim Clayton.
In terms of global product segment revenue, EMEA registered a growth of 13.2 per cent. Meanwhile, the Americas and Asia Pacific declined 0.1 per cent and 4.8 per cent, respectively.
In addition, new geographies – namely Mexico, Portugal, Spain, France, Italy, Poland, and South Korea – significantly contributed to the sales increase.
For the second half, the company said it will continue to act conservatively with a focus on gross profit and investing in medium-term growth.
Breville forecasts EBIT growth of between 5 per cent and 7.5 per cent for the full year.
