Clothing retailer Postie Plus has reported a small loss after taking steps to overhaul its business.
The company lost $183,000 for the year to the end of July - a turnaround from the previous year's $656,000 profit.
Excluding one-off costs from selling the Baby City business, consolidating some of its Auckland operations and redundancies, Postie Plus made a profit of $493,000.
Sales fell 4% to $111 million due to selling Baby City and flat trading conditions.
Looking ahead, the company will continue to cut operating costs, as well as refurbish stores to lift margins and sales.
Postie Plus declared a dividend of 1 cent per share.
The company wants to double its size through acquisitions, new stores and a wider range of products.
It is moving its headquarters from Christchurch to Auckland, while its chief executive of seven years, Ron Boskell, will step down early next year.
Mr Boskell says the company will continue to cut operating costs, as well as refurbish stores to lift margins and sales.
He says retailers have been discounting because of the difficult trading conditions, but that effects the bottom line.