Super Retail Group expects to come out of FY20 with a flat, if not positive, full year result despite the onset of the Covid-19 pandemic impacting sales after a strong rebound in Q4.
Due to easing lockdown restrictions, which led to a significant uplift in domestic tourism and travel, as well as personal fitness and outdoor activities, Super Retail is now expecting to deliver a total revenue of $2.82 billion for FY20 – slightly above the $2.71 billion seen in FY19.
Additionally, it expects to see a net profit result of between $153 and $154 million – almost flat with the $153 million of the same time last year.
“Given the volatile trading environment, we are very pleased with these results,” said Super Retail chief executive Anthony Heraghty.
“The group’s omni-retail channel business strategy has enabled our business to adapt quickly to changing consumer behaviour during Covid-19 and delivered a resilient trading performance.”
In the 52 weeks to 27 June 2929, Super Retail’s four businesses achieved a group total sales growth of 4.2 per cent. Supercheap Auto saw 7.6 per cent growth, Rebel 3.3 per cent, and BCF 4 per cent.
Macpac total sales fell 5 per cent during the period.
The business said in June it had seen minimal disruption to its supply chain, with the exception of some domestic freight capacity issues, and that it had offset some of the gross margin impact with cost mitigation measures.
Super Retail raised $203 million through a share purchase plan to further develop its online capabilities, and take advantage of the opportunities afforded by consumer behaviour post-Covid.
“The equity raising enables us to continue the execution of our strategy, further strengthen our omni-retail capabilities and continue to organically grow our four core brands,” Heraghty said.