Super Retail Group’s net profit fell in the fiscal first half amid inflationary pressures affecting the cost of doing business.
The group’s statutory net profit declined 9 per cent to $130 million despite sales increasing 4 per cent to $2.11 billion. Across the group, the inflationary pressures necessitated more promotional activity to keep stock turning over.
Both Supercheap Auto and Macpac’s sales rose 1.7 per cent while Rebel and BCF grew 4.4 per cent and 6.9 per cent, respectively.
“Super Retail Group delivered solid first-half sales growth of four per cent – a pleasing outcome considering the challenging consumer conditions throughout the period, especially in New Zealand,” said Anthony Heraghty, Super Retail Group MD and CEO.
“The business successfully navigated the peak trade period through strategic initiatives across supply chain, stock availability, merchandising and ranging. These efforts drove accelerated growth in the second quarter at BCF and Rebel.”
In the first seven weeks of the fiscal second half, the group’s sales grew 7 per cent amid positive sales performance across all businesses.
For the fiscal year, the company plans to open 28 new stores, composed of 11 Supercheap Auto stores, five Rebel stores, four BCF stores, and eight Macpac stores.
“Despite an ongoing subdued consumer environment, we remain relatively well positioned given our customer value proposition, the strength of our brands and our loyalty programs, as well as the resilience of the lifestyle and leisure categories in which we operate,” said the company.
