Super Retail Group sees growth across the board
Super Retail Group has enjoyed an 8.6 per cent growth in net profit over the 2019 financial year to $139.3 million, up from $128.3 million the year prior.
Total group sales, which includes BCF, Macpac, Rebel Sport and Supercheap Auto, grew 5.4 per cent to $2.71 billion. Like-for-like group sales grew 2.9 per cent, while overall online sales increased by 25 per cent year on year.
Super Retail Group managing director and chief executive Anthony Heraghty said the group was pleased with the result.
“We have grown our active loyalty club membership to over six million members. Our club members now represent over 56 per cent of sales across the group,” Heraghty said.
“We see a significant opportunity to get closer to our customers by refreshing our loyalty programs and utilising customer data analytics to make more tailored and personalised offers.”
Supercheap Auto saw sales improve by 3.4 per cent to $1.04 billion, and like-for-like sales improve 2.3 per cent, driven by higher average transaction value.
Auto maintenance and auto accessories were the strongest performing segments across the brand, representing approximately three quarters of divisional revenue.
Looking forward, the brand is focused on expanding the value added services it provides customers to encourage purchasing products in-store, with online now representing six percent of total sales – and click-and-collect accounting for two thirds of these online sales.
Sales in Super Retail Group’s Rebel brand improved 3.8 per cent to $1.01 billion, while like-for-like growth grew 3 per cent.
Key categories included apparel, footwear and fitness accessories, while sales of hard goods decreased.
Online sales grew 33 per cent during the year, while conversion rates improved almost 20 per cent, due to the launch of a new website platform in July 2018.
The business’ Boating, Camping, Fishing brand saw sales improve to $514.6 million, up 3.3 per cent, with like-for-like growth of 3.2 per cent – driven by higher average units per sale.
However, gross margin deteriorated over the financial period due to a highly competitive environment driving promotions and deeper discounting. This stabilised in the second half, as the group’s countermeasures took hold.
Macpac, acquired in March 2018, made its first full year contribution to the group, delivering a sales result of $119.3 million.
Online sales in the group improved 24 per cent during the period, and now represent over 10 per cent of Macpac sales.
The retail group also completed a comprehensive review of its employment arrangements, after discovering it had underpaid team members, having set aside a total of $24 million after tax to repay affected employees.
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