30 Mar 2017

Hallenstein Glassons' half-year profit up by a third

3:08 pm on 30 March 2017

Stronger results from Hallenstein Glasson's women's clothing stores have offset softer sales at its men's chains, with the retailer's half-year profit up by a third.

Hallenstein Glasson's December sales fell.

Sales at the Glassons stores were stronger than last year's. Photo: RNZ

The company's net profit for the six months to February was $9.2 million, up from $6.8m a year ago, with group sales rising 9 percent to $122.9m.

The result was in line with guidance the company gave last month.

The group said its Glassons women's chains in New Zealand and Australia had stronger sales, but the men's Hallenstein stores and its Storm outlets were slightly softer.

However, it said sales for the first seven weeks of the winter season had been encouraging, up by 5 percent on last year, with a small lift in its gross margin.

The company said it benefited from a lower exchange rate and cheaper prices for goods, while it kept a lid on costs.

It said online sales were the fastest growing part of the business, up more than a third on a year ago, and sales in the first part of the new year were up 36 percent.

The company's interim dividend has been increased by a cent to 14.5 cents a share.

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