Beacon Lighting Group posts profit loss

Beacon-LightingLighting retailer, Beacon Lighting Group, has posted a 15-per cent decrease in net profit after tax of $9.4 million for the half year compared to the previous corresponding period.

Earnings before interest, taxes, depreciation and amortisation fell 13.8 per cent to $15.1 million.

The retailer’s sales went up 10.9 per cent to $109.2 million and comparative sales increased by 1.2 per cent for the first half all attributed to new store openings and franchise store acquisitions.

Gross profit increased by 4.4 per cent and gross profit margin went up 62.1 per cent.

According to the company, despite franchise stores acquisitions, other income increased as a result of licensing the intellectual property of the group. Small productivity gains were also realised with operating expenses as a percentage of sales improving by 0.1 per cent.

Beacon Lighting has opened four new company stores in the first half at South Melbourne, Marsden Park, Brookvale and Claremont. The Jindalee, Moonah and Frankston franchised stores were also purchased and converted to company operated stores, bringing the total number of Beacon Lighting stores to 99. The group has also acquired the Masson for Lights architectural lighting store in Richmond.

According to the company, the increase in company store comparative sales have made a positive start to the new half year and they are looking forward to a successful second half.

The company announced with the closure of Masters, the group will continue to focus on key strategies to grow market share and improve performance, which include continuing to roll out new stores, optimising the existing stores portfolio, developing new product ranges, ongoing development of online and social media activities, considering aligned acquisition opportunities and expanding into new markets and targeting expense efficiency gains.

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