Australian home fragrance retailer Dusk Group has seen strong sales and earnings growth for this financial year.

The company reported an 8.7 per cent increase in its sales to $137.8 million, with like-for-like sales up 7.1 per cent, and an underlying EBIT rising 22.9 per cent to $7.7 million.

Dusk’s online sales of $10.8 million represented 7.8 per cent of its sales, with its click and collect service accounting for 25 per cent of online transactions.

“FY25 was a pivotal year for Dusk Group, marking a return to strong sales and earnings growth,” said CEO and MD Vlad Yakubson. “This success is a testament to the hard work of leadership, support, and store teams. 

“Their successful execution of strategic initiatives focused on product rejuvenation, omni-channel expansion, and disciplined cost management drove this improvement.” 

The company’s gross profit grew by 7.1 per cent to $87.7 million, with its gross profit margin decreasing from 64.3 per cent to 63.7 per cent.

Dusk attributed its gross margin decrease to heightened promotional activity and currency depreciation in the second half of the year.

In the first half of the next year, the brand will expand the trial of its AfterGlow store format to Macarthur Square and will relaunch its core signature product range in September.

With the launch of the Signature product refresh and the phase-out of the current range, Dusk expects a temporary impact on its gross margin for that period.

Dusk closed this financial year with 150 stores, including online, which was a net increase of one store.

The company plans to open two new stores and close two other stores in the first half of the next financial year.