“While record sales were a highlight,equally pleasing was our ability to maintain elevated margins despite significant input cost pressures and increased promotional activity in the market,” Bracken said.
Michael Hill expects to report earnings before interest and tax of between $52 million and $55 million when it delivers its official numbers next month,up from last year’s $51.6 million.
Bracken said another strong Christmas trading campaign underpinned the results. Australian stores saw revenue growth of 18 per cent on the same period last year,while sales were up by 13.8 per cent in New Zealand and 0.5 per cent in Canada.
Michael Hill joins retail brands includingJB Hi-Fi andSuper Retail Group which have flagged strong results in the lead-up to the February earnings period.
Early retail trading data from the Christmas period also suggests growth across almost all sectors in December 2022. Mastercard Spending Pulse data released on Wednesday revealed Australian retail sales increased by 1.7 per cent last month compared with December 2021.
Apparel retailers saw the biggest gains,according to the data,with sales up 6.7 per cent on last year,while groceries were up by 6.6 per cent.
Sales on home furnishings declined by 2.4 per cent,however,adding more evidence to support the theory thatspending on big-ticket household items will slow this year.