, the retailer said it did not have any information that could explain the recent trading in its securities. IRW understands that at this stage, there is no further information publicly available. The ASX has queried the company to ascertain if it was aware of anything that might explain the recent trading. Nick Scali said it “is not aware of any such information” and that it “is in compliance with the Listing Rules”. The ASX said it will continue to closely monitor the situation. When contacted by IRW for further information, Nick Scali referred to its recent trading update, where it advised it expects its profit guidance to be in the range of $36-$37 million and a 40 per cent increase over the previous period. “Pleasingly, same store sales for the four months to April 2017 have continued at double digit growth and recent and proposed new store openings should assist results into the 2017/2018 financial year,” company secretary Kevin Fine said in a statement in May. In its recent half-year update, the high-end furniture chain’s net profit after tax was up 44.7 per cent to $20.5 million for the half and operating expenses were down 36.4 per cent of sales. In its presentation to investors, Nick Scali cited IBISWorld research on the key drivers of the furniture industry. According to the industry report on House Construction in Australia, “demand for alterations and additions is expected to improve over the next five years, providing an important avenue for industry expansion over the period and the “industry’s small-to medium-scale builders are expected to secure renovation work on existing dwellings”. A projected increase in housing prices, and solid economic growth conditions are anticipated to encourage households to spend on renovation work, particularly on projects valued over $10,000 per contract. Meanwhile, there is a raft of legal activity involving retailers and shareholders. Litigation firm Investor Claim Partner says it is nearing the end of its investigation into whether Dick Smith misled shareholders until its collapse in January 2016 by withholding or misrepresenting key information regarding its true financial position. And shares in online retailer Surfstitch has been suspended for at least three months after it was hit by a $100 million shareholder class action. The retailer on Friday said it expects the suspension to last until its full-year results at the end of August, and that it will end with an agreed settlement of the claim or Surfstitch concluding a settlement is unworkable or undesirable. Law firm Quinn Emanuel this week filed an action in Queensland’s Supreme Court alleging Surfstitch failed to tell shareholders it was trading at a loss and then tried to cover it up. Access exclusive analysis, locked news and reports with Inside Retail Weekly. Subscribe today and get our premium print publication delivered to your door every week.