Hallenstein Glasson has reported higher sales in the first 18 weeks of its new financial year.

The fashion retailer’s sales grew 10.1 per cent year on year, thanks to the strong performance of the Australian market and favourable exchange rate due to the stronger Australian dollar.

However, the company noted continuing challenges in the New Zealand market amid cost of living pressures.

“Our investment in new stores continues, opening three new stores in New Zealand and two relocations for Hallensteins and Glassons Australia,” said Chris Kinraid, Hallenstein Glasson CEO, in a market update.

“Our strategic growth opportunities remain in Australia across our brands, and we will continue our approach of disciplined store openings into 2025 that meet our return on capital requirements with locations that best represent our brands.”

In the last financial year, the company’s sales grew 6.3 per cent to NZ$435.6 million (A$396.9 million) and net income jumped 7.8 per cent to NZ$34.5 million (A$31.4 million).