Michael Hill International has reported another strong full-year financial report despite sales slowing in the second half.
The company’s sales increased by six per cent on a year-by-year comparison, a particularly impressive result given that Michaell Hill set a new record for sales and margin in the previous year.
In the second half, total sales decreased by 0.8 per cent. Digital sales declined by 1.4 per cent overall; however, in the second half improved by 12.3 per cent.
The company reported total group sales of $AU628.1 million. Michael Hill CEO Daniel Bracken insisted that the best is still to come.
“While acknowledging the challenging economic conditions faced globally, I am pleased with the delivery of full-year sales increases in all three markets against what was a record prior year,” he said.
“With second-half sales flat to last year, I am encouraged by the brand elevation strategy continuing to deliver market share gains.”
It’s been a busy year for the Brisbane-based company, headlined by the $45.1 million deal to acquire retail rival Bevilles – securing 26 stores in Victoria, NSW and SA.
The company plans to open more than 80 new Bevilles stores by 2028, including expansion in New Zealand and Canada. Bracken added that so far, it’s been a smooth transition.
“I am excited by the addition of Bevilles to the Michael Hill portfolio of brands, and our early insights only reinforce its complementary strategic fit and reaffirm the opportunity to expand the Bevilles brand and take its offering nationally,” Bracken said.
“Discussions are already well advanced to secure new store locations to open prior to Christmas, and for entry into a new state market in the new year.”
The acquisition of Bevilles takes Michael Hill’s store count to 304. Michael Hill recently confirmed that it has renewed its focus on lab-created diamond jewellery with an expanded range.
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