Sharechat Logo

Michael Hill 9-month revenue rises 9.1% on gains across all markets

Friday 8th April 2016

Text too small?

Michael Hill International, the listed jewellery retailer, said revenue rose 9.1 percent in the first nine months of its financial year as sales increased across all of its four geographic markets.

Revenue at its Michael Hill and Emma & Roe jewellery chains advanced to A$420.8 million in the nine months ended March 31, from A$385.9 million a year earlier, the Brisbane-based company said in a statement. 

Sales at its Michael Hill stores in Australia, the company's largest market, rose 4.3 percent to A$238.7 million, or by 3.5 percent excluding changes in stores. In New Zealand, Michael Hill sales gained 6.5 percent to NZ$93.7 million, with the percentage gain unchanged on a same-store basis. In Canada, sales rose 20 percent to C$72.4 million, or 5.8 percent on a same-store basis. Sales at US stores jumped 29 percent to US$10.5 million, or 2.9 percent on a same-store measure.

The retailer added eight Michael Hill stores during the period, taking the total to 295.

The company's fledgling Emma & Roe chain boosted Australian sales 83 percent to A$6.3 million, or by 40 percent on a same-store basis. Its New Zealand sales for the brand gained 165 percent to NZ$545,694.

It opened six new Emma & Roe stores during the period, taking the total to 14. The company said the brand is still in a "trial phase", and it plans to open a further two stores before the end of the financial year.

Shares in Michael Hill last traded at $1 and have gained 1 percent this year.

Kevin Dutta –Gupta, General Manager Research at Investment Research Group Ltd Commented “Michael Hill International Ltd has been out of favour over the last 2 years dropping from a high of $1.35 in May 2015 down to 90c in September 2015. It has recovered to $1.00 today. MHI is trading on a dividend yield of 5% at present. If you believe in the growth story it would appear attractive at these levels.”

Maurice Greenough of Equity Investment Advisers  said  “This stock has always recovered from retail downturns as the Hill family have much experience in jewellery retailing.  The metrics and ratios of this stock are appealing in today’s expensive market, in addition to a good yield ".

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

Tourism Holdings shares fall to 6-week low as US margins shrink
Venture capitalists split on govt picking winners
21st October 2019 Morning Report
Kiwi dollar steady as markets await Brexit developments
Domestic AGMs, multi-national earnings to provide economic insights
MARKET CLOSE: Blue-chip stocks Meridian, A2 lead market lower
MARKET CLOSE: Blue-chip stocks Meridian, A2 lead market lower
NZ dollar rises on Brexit hopes, rate cut reassessment
Three not failing, just needs a new owner - MediaWorks CEO
Major investors back new CBL class action targeting directors

IRG See IRG research reports