Home / Knowledge / News / Apparel/Garments / David Jones says Q1 LFL sales down 11%
David Jones says Q1 LFL sales down 11%
Nov '11
David Jones Limited (DJS) reported Total Sales Revenue of $414.3 million for the first quarter of the 2012 financial year (1Q12) being the period 31 July 2011 to 29 October 2011 (versus $466.6 million: 1 August 2010 to 30 October 2010). This represents Total sales decline of 11.2% on 1Q11.

On a Like-for Like (LFL) basis Sales Revenue declined by 11% for the first quarter of the 2012 financial year (1Q12).

David Jones CEO Mr Paul Zahra said, “Our trading performance in 1Q12 was broadly in line with the guidance we provided at the time of our full year results in September. The challenging conditions we faced in 4Q11 continued in 1Q12.

Despite this being below our original expectations in July it is consistent with our comments to the market in August and September at the time of our 4Q11 Sales and FY11 Results announcements when we reaffirmed our 1H12 PAT Growth Guidance of -15% to -20% (based on our expectation that sales in 2Q12, whilst still negative will improve from 1Q12). Whilst trading improved in October and November 2011, it continues to be negative on last year.

"Our trading performance in 1Q12 relative to our peers reflects the fact that we cycled a relatively strong sales quarter last year (1Q11 was +3.2% vs. 1Q10 on a statutory weeks basis). In addition our customer base has been hardest hit by the wealth effect including factors such as volatility in the equity markets, the weak housing market in particular at the top end, employment uncertainty in certain white collar professional sectors and uncertainty surrounding Europe's sovereign debt crisis resulting in consumer sentiment weakening and household savings increasing.

"Our business was also adversely impacted throughout 1Q12 by:
• disruption due to the significant refurbishment of our Chadstone (Vic) and Warringah Mall (NSW) stores;
• the fact that we were cycling the opening of our redeveloped Bourke Street Mall (Vic) store on 13 August 2010;
• price deflation in the Electricals market in particular TVs which were severely impacted by the strong A$ and the competitive environment; and
• the higher mix of discounted stock as we clear our excess Inventory," Mr Zahra said.

Testament to David Jones' core customer base having been adversely impacted by the wealth effect is the fact that the Company's stores located in the best demographic areas saw the most marked decline in trading. Foot traffic and basket size were down in all stores.

The downturn in sales was felt across all categories particularly in the Company's Home Entertainment and Electricals category.

Click here to read more details

David Jones Limited (DJS)

Must ReadView All

US & EU retailers release industry approach to GDPR

Apparel/Garments | On 24th May 2018

US & EU retailers release industry approach to GDPR

The Washington, D.C.-based National Retail Federation and...

Courtesy: Nanollose

Textiles | On 24th May 2018

Nanollose develops fabric from coconuts

Australian technology company Nanollose has developed a sustainable...

Courtesy: Invista

Textiles | On 24th May 2018

Invista moves ahead with Texas technology upgrade project

Invista, a leader in chemical intermediates and fibres, is at the...

Interviews View All

Prabu Mohanram
Balavigna Weaving Mills Pvt Ltd

The biggest challenge that the weaving industry faces is high price

Evelyne Cholet

‘France had a reputation of being big in new ideas, but poor in marketing...

Indian fashion industry

Cotton consumption will keep growing in the Indian fashion industry

Kamal Kulshreshth

Colorjet is among the fastest-growing wide format digital inkjet print...

Kalai Selvi

Vidyashilp Academy in Bengaluru is the country's first Fairtrade School....

Harsh Shah

Fynd is the central online shopping destination for fashion, offering...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Marcel Alberts

Coating at a fibre level is a practice not usually seen in the...

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Divvya and Nidhhi Gambhir

<b>Divvya and Nidhhi Gambhir</b> started their career with the launch of...

Nisha Chanda
Whistling Woods International School of Fashion

<div>A lack of upgraded courses in costume designing and fashion as per...

Robert Brunner

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies


Leave your Comments

May 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category

Related Categories:

Advanced Search