Jewellery retailer Michael Hill International Ltd increased group revenue by 4.7% and same-store sales by 0.5% in the December half-year, but reiterated concern about its US business, where sales fell 10%.
The trading update combines 5 months of accounting-adjusted sales results plus preliminary sales figures for December. The company will deliver its more detailed half-year results on 22 February.
The company opened 14 Michael Hill stores & one Emma & Roe store during the half-year, taking the total to 347 – 317 Michael Hill, 30 Emma & Roe.
7 of the new stores are in Canada, taking the total there to 83, and 6 opened in Australia, taking the total there to 172. The company added one store in New Zealand for a total 53, and has 9 in the US.
Sales under the Michael Hill brand grew 4.3% and same-store sales grew 0.7% – 3.4% in New Zealand, 4.8% in Canada, flat in Australia, down 10% in the US.
Emma & Roe grew sales by 20.1%, but same-store sales fell 5.4%.
Total sales for the group, now based in Brisbane, were $A341.5 million ($A326 million for the December 2016 half) – Michael Hill $A331 million ($A317.3 million), Emma & Roe $10.5 million ($A8.75 million). E-commerce sales grew by 71% to $A5.6 million.
Chief executive Phil Taylor said the company was in the final stages of its comprehensive brand review, a management review of the findings.
Attribution: Company release.