The group’s total sales increased by 7 per cent from the prior year, reaching $2.57 billion, while the company’s full-year dividend rose by 5.4 per cent to 49 cents.
“We are pleased to report a record result for the company in a year in which we have also made significant progress in delivering on the three core elements of our strategy,” Super Retail Group managing director and chief executive Peter Birtles said.
“We have strengthened our portfolio… with the merger of the Rebel and Amart Sports businesses and the acquisition of Macpac and merger with Rays.”
Birtles noted the group’s investment into its omni-retail capabilities underpinned its strong growth in online sales, and would continue to expand its available ranges while “significantly” increasing customer spending through digital channels.
The group’s conversion of 68 Amart Sports stores to the Rebel brand has had some impact on sales and margin performance, as product ranges were consolidated and stores were relaunched under the Rebel brand following the integration.
“Pleasingly customer net promoter scores have improved through the transition and sales momentum rebounded strongly in the final quarter,” Birtles said.
Total sales for the sports retailing segment grew 3.2 per cent to $979.2 million, though average transaction values were lower than the previous year due to increased promotional activity, while like-for-like growth reached over 4 per cent in the final quarter.
The apparel and footwear categories delivered strong growth, although equipment categories, which were more impacted by the conversion of Amart stores, were lower than the prior year.
Online sales increased by 152 per cent on the previous corresponding period, thanks to the introduction of a click-and-collect option in October 2017.
Segment EBIT grew 0.2 per cent to $91.5 million, while EBIT margin was 0.3 percentage points lower than the comparative period, at 9.3 per cent, as a result of the Amart transition impacting on gross margin. During the period the Rebel Fit business was closed, costing $2.7 million.
The outdoor retailing segment, which consists of the BCF, Rays and Macpac businesses, reached $579.8 million in sales with an EBIT of $29.6 million, 4.8 per cent and 16.5 per cent higher than the prior comparative period respectively.
BCF increased its contribution by 3.7 per cent year on year, reaching $498.3 million in sales. Online sales grew by 76 per cent, also driven by click-and-collect.
The outdoor retailer lost 1.2 per cent market share during the period, however, as competitors increased store footprint and pricing intensity.
The acquisition of Macpac was completed on March 31, and performed strongly over the subsequent three months, contributing $7.8 million EBIT. Six Rays stores have been closed, with the remaining nine to be converted into Macpac large format stores moving forward.
Macpac generated $31.4 million in sales, finishing the period with 54 stores across Australia and New Zealand.
Fifteen Rays trial stores contributed $50.1 million in sales but found a trading loss of $5.5 million.
The group’s auto retailing division reached $1 billion in sales, with like-for-like growth of 3.6 per cent driven by an increase in transaction numbers, items per transaction and average item value.
Online sales grew by 85 per cent for the segment, thanks in large part to the click-and-collect fulfilment option.
Segment EBIT grew by 4.9 per cent to $116.4 million, with EBIT margin of 11.6 per cent in line with the prior corresponding period.
Supercheap Auto’s share of customer spending in automotive aftermarket retailers grew 0.7 per cent year on year. The brand’s loyalty programs ended the period with close to 1.47 million active Club Plus members.
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