Home / Knowledge / News / Apparel/Garments / Decline in net earnings at Postie & Babycity
Decline in net earnings at Postie & Babycity
28
Mar '12
The continued volatility in consumer confidence in New Zealand is reflected in an almost unchanged trading performance by the apparel retailer Postie Plus Group Ltd (PPGL) during the company's opening six months of the current year.

The trading period ending 29 January 2012 had sales of $53.92m which was down $2.6m, or 4.6% compared with last year.

A strong commitment by management to internal efficiencies and a positive effort by sales staff in the group's two national retail chains, Postie and Babycity, have kept the decline in net earnings to a loss of $0.77m compared to $0.75m last year.

Given the continuing hesitancy in retail generally, we are pleased to have held the overall result close to the same period last year - said Mr Richard Punter, chairman.

- Importantly, we have left behind the large first half losses that previously marred our results and we look to continuation of profitability for the full year.

- Gross profit was $28.65m, compared with $29.29m in the prior corresponding period. Earnings before interest and tax was a loss of $0.69m, compared with a loss of $0.62m last year.

- Whilst we are dissatisfied with a first half loss, we recognise the importance of clearing our winter seasonal apparel each spring, said the chief executive Mr Ron Boskell.

- This is usually followed by profitable trading in the second half year.

- Despite the challenging environment, our core businesses are in excellent shape for the forthcoming all-important winter season. Our focus on costs has once again been a strong feature of our performance, with expenses down $458,000 or 1.5% and inventories are well under control.

- The Postie chain of 81 stores is performing well, including all of our Christchurch stores. Our Postie upgrade programme continued during the period and we continue to see a positive response from customers to the refreshed stores.

PPGL closed four Babycity stores in marginal locations during the period and has since closed a further two stores. This reduced the number of Babycity stores to 18 - Mr Boskell said

We have continued the development of our online retail business. PPGL is pleased with the increasingly strong market positions held by our retail web sites for Babycity, Postie and Schooltex.

The significance of a strong winter season to our annual result is well understood and management and staff will be striving to extract the higher volume and value of sales on which a second half profit is based and I can report that the group overall has made a good early start to the new season, said Mr Punter.

Postie Plus Group Ltd (PPGL)


Must ReadView All

Egypt’s textile exports increase 3% in 10 months: TEC

Textiles | On 21st Nov 2017

Egypt’s textile exports increase 3% in 10 months: TEC

Exports by Egypt’s Textile Export Council (TEC) between January and...

UKFT turns sector skills body for UK fashion, textile sector

Textiles | On 21st Nov 2017

UKFT turns sector skills body for UK fashion, textile sector

The UK Fashion & Textile Association (UKFT) recently announced at a...

Pakistan’s textile exports up 7.72% in July-Oct ’17

Textiles | On 21st Nov 2017

Pakistan’s textile exports up 7.72% in July-Oct ’17

The value of textile and garment exports from Pakistan increased by...

Interviews View All

Karel Williams
Dow Microbial Control

'Silvadur is most rapidly adopted in areas where hygiene-conscious and...

Sanjay Yagnik
Maa Tex Speciality

‘We suggest reducing dosage of sizing chemicals to reduce sludge...

Smarth Bansal
Colorjet India Limited

We would like to venture more companies into the Indian market

Abhishek Pachauri

Reckon Industries adapts latest systems for manufacturing from designing...

Harsh Shah

Established in 1956 with a small beginning, Embee today manufactures a...

Anupam Arya

<div>Jaipur-based Fabriclore Retailing Pvt. Ltd. is attempting to revive...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Silke Brand-Kirsch
Schlegel und Partner

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

Anisha Chaudhari
Threads & Shirts

Threads &amp; Shirts is a freshly-tailored concept providing men/women a...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

Divvya and Nidhhi Gambhir
Walnut

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

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

November 2017

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

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
68.5%
No
12.4%
Skip
19.1%

Total Votes: 89

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
61.8%
No
30.3%
Skip
7.9%

Total Votes: 89

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
86.5%
No
10.1%
Skip
3.4%

Total Votes: 89

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
80.9%
No
9.0%
Skip
10.1%

Total Votes: 89


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search