For its six months trading to February, revenue across the group rose 19.4% to $146.8 million, earnings before interest and tax rose from $12.6 million to $21 million and after-tax profit was up from $9.18 million to $15.1 million.
A dividend of 20c per share was declared. Hallenstein shares, up 47% on a year ago, were unchanged at $4.98 following Thursday’s half-year announcement. Chief executive Mark Goddard said the gross margin across the group rose 3.4 percentage points to 61.5% on a year ago.
"This was achieved through a strong sales performance, our improved buying strategy and a reduction in promotional activity and discounting across all brands," Mr Goddard said.
Mr Goddard said Glasson sales in New Zealand were $50.3 million, up 9.8% on a year earlier Australian sales rose 60.5% to $41.8 million" Both countries delivered a very strong Christmas trading period," Mr Goddard said.
He said a focus on fashion, speed to market, customer service and digital engagement continued to deliver strong sales, plus reduced dependency on discounting and promotions in both markets.
"This, together with the strong focus placed on Australia by the management team and along with the two new store openings, including Melbourne CBD, has delivered the strong growth," Mr Goddard said.
Hallenstein Brothers sales, including its three Australian outlets, were up 8.8% to $51 million, and the brand continued to build and evolve its established leadership position, he said.
E-commerce sales grew to represent more than 11% of total turnover, with a move away from traditional marketing to digital, social and influencer events, Mr Goddard said.
Storm sales were down 12.9% to $3.6 million and the planned closure of two outlets attracted a $1.7 million impairment charge. The Storm women’s fashion brand was sold earlier this month for an undisclosed sum. It will continue to operate 10 outlets and online sales.
