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.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Land & Water Forum: Fourth Report On Water Management

The Land and Water Forum (LWF) today published its fourth report, outlining 60 new consensus recommendations for how New Zealand should improve its management of fresh water and calling on the Government to urgently adopt all of its recommendations from earlier reports. More>>



Welcome Home: Record High Migration Stokes 41-Year High Population Growth

New Zealand annual net migration hit a new high in October as more people arrived from than departed for Australia for the first time in more than 20 years. More>>


Citizens' Advice Bureau: Report Shows Desperate Housing Situation Throughout NZ

CAB's in-depth analysis of over 2000 client enquiries about emergency accommodation shows vulnerable families, pregnant women and children living in cars and garages, even after seeking assistance from the Ministry of Social Development and Housing New Zealand. More>>


Speaking For The Bees: Greens Call For Neonicotinoid Pesticide Ban

The National Government should ban the use of controversial pesticides called neonicotinoids after evidence has revealed that even at low doses they cause harm to bee populations, the Green Party said today. More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news