Sharechat Logo

Michael Hill lifts quarterly sales in deteriorating markets

Friday 10th October 2008

Text too small?
Michael Hill International Ltd., the retailer that posted a record profit last financial year, said sales rose 12% last quarter, even as markets deteriorated.

Sales rose to NZ$79.7 million in the three months ended Sept. 30, from NZ$71.2 million in the same period a year earlier, the jewelry chain said in a statement. Same-store sales rose 5.5%.

The figures show Australia made the biggest contribution to sales at NZ$55.6 million and recorded the strongest growth, 16.4% last quarter. Still, sales gained from the currency translation, a benefit that is unlikely to repeat in the current quarter, the company said.

The Australian stores "started to feel the pressure of global conditions during September," according to a statement signed by chairman Michael Hill. "We may experience some downside on consolidation of the important second quarter results."

The shares fell 11% to 66 cents today.

The company said it doesn't anticipate an improvement in New Zealand trading through this financial year, reflecting the weak domestic economy. New Zealand sales fell 3.7% last quarter.
Trading in Canada was also weak. Sales rose 13.8% last quarter as the company opened new outlets while same-store sales fell about 7%.

Michael Hill reported sales of NZ$638,000 from the U.S., where it acquired 17 stores from a failed jewelry chain.

By Jonathan Underhill

  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:

Michael Hill increases 2013 sales 6.8 percent in challenging environment
Michael Hill International Limited
Michael Hill 9-month sales rise 8.8 percent , led by Australia, New Zealand
Michael Hill 1H earnings creep up on Australian gains, tax dispute lingers
Michael Hill says Christmas trading missed forecasts, 1H earnings to be $34M to $36M
Michael Hill lifts first-quarter revenue 14% on rising North American sales
Michael Hill prepares response to Australian Tax Office
Michael Hill FY profit up 5.8 percent , Australia slows growth
Michael Hill FY same-store sales edge up 0.3 percent
Michael Hill International