Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Kathmandu lifts 1H profit by as much as 75% on Aust sales

Kathmandu lifts 1H profit by as much as 75% on Australian sales growth

Feb. 1 (BusinessDesk) - Kathmandu, the outdoor equipment retail chain, boosted first-half profit by as much as 75 percent on the strength of sales across the Tasman.

Net profit was between $9.5 million and $10.5 million in the six months ended Jan. 27, compared to $6 million a year earlier, the retailer said in a statement. That came from a 13 percent increase in sales to $165.8 million, and was in line with management's expectations, it said.

"Our sales in Australia have continued to grow at a faster rate than New Zealand, which reflects the continuing strengthening of the Kathmandu brand and market penetration in Australia," chief executive Peter Halkett said.

The company didn’t provide annual guidance, saying 60 percent of sales and at least 70 percent of earnings will come in the second half of the year. It has previously said it expected to beat its 2012 result.

"Given this trading pattern and the volatile nature of the retail trading environment, we remain cautious about our full-year result," Halkett said.

The shares rose 0.9 percent to $2.23, having rallied 10 percent this year. The stock is rated an average 'outperform' based on 10 analyst recommendations compiled by Reuters, with a median target price of $1.855.

Kathmandu boosted first-quarter revenue almost 20 percent, indicating the pace of sales growth slowed in the second three-month period, which encompassed the Christmas trading period.

The retailer opened nine stores in the current financial year and expected to open a further 15 in the second half.

The first-half result will be released on March 26.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

By May 2018: Wider, Earlier Microbead Ban

The sale and manufacture of wash-off products containing plastic microbeads will be banned in New Zealand earlier than previously expected, Associate Environment Minister Scott Simpson announced today. More>>

ALSO:

Snail-ier Mail: NZ Post To Ditch FastPost

New Zealand Post customers will see a change to how they can send priority mail from 1 January 2018. The FastPost service will no longer be available from this date. More>>

ALSO:

Property Institute: English Backs Of Debt To Income Plan

Property Institute of New Zealand Chief Executive Ashley Church is applauding today’s decision, by Prime Minister Bill English, to take Debt-to-income ratios off the table as a tool available to the Reserve Bank. More>>

ALSO:

Divesting: NZ Super Fund Shifts Passive Equities To Low-Carbon

The NZ$35 billion NZ Super Fund’s NZ$14 billion global passive equity portfolio, 40% of the overall Fund, is now low-carbon, the Guardians of New Zealand Superannuation announced today. More>>

ALSO:

Split Decision - Appeal Planned: EPA Allows Taranaki Bight Seabed Mine

The Decision-making Committee, appointed by the Board of the Environmental Protection Authority to decide a marine consent application by Trans-Tasman Resources Ltd, has granted consent, subject to conditions, for the company to mine iron sands off the South Taranaki Bight. More>>

ALSO: