HALFYR: KRK: Preliminary Half Year Results- 28 February 2010

23 Apr 2010 9:17 am

KRK 23/04/2010 HALFYR

REL: 0917 HRS Kirkcaldie & Stains Limited

HALFYR: KRK: Preliminary Half Year Results- 28 February 2010

The Directors of Kirkcaldie & Stains Limited are pleased to announce the result for the half year ended 28 February 2010 is a pre tax profit of $1,015,000 compared to the result for the same period last year of $731,000, an increase of $284,000, or 38.8%. The after tax result for the company is a profit of $725,000, an improvement of $243,000 over the prior year result of $482,000 or 50.4%.

The result from the retail company is a pre tax profit of $716,000 versus the prior year result of $593,000, an increase of $123,000, or 20.7%.Retail sales for the half year period were $19.8 million which is a reduction on the prior year sales of $20.9M, a 5.2% decrease. Reduced inventory level has led to fewer markdowns, but meant that we had less product available for the annual sale which has in turn led to less sales revenue. Retail sales remain subdued as consumers remain cautious about the economic situation. We would expect that the year ahead will remain difficult for retail trading, particularly as consumers have become accustomed to "sale" prices.

The half year result for the property company pre tax is $393,000 versus the prior year result of $227,000, an increase of $166,000, or 73%. The majority of this increase is attributable to a reduction in interest expense saving the company $145,000 for the six month period.

The Directors have declared a fully imputed dividend of three cents per share for the half year ended 28 February 2010 (2009: three cents fully imputed). The dividend will be paid on 17 May 2010 with a record date of 10 May 2010.

ENDS

For further information:

Ms Kerrie Cole Company Secretary Kirkcaldie & Stains Limited P: 04 494 7283 E: Kerrie.cole@kirkcaldies.co.nz End CA:00194103 For:KRK Type:HALFYR Time:2010-04-23:09:17:47

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