Briscoes likely to top full-year profit

Briscoes narrowly missed out repeating last year's record third-quarter sales figures, boosted by the Rugby World Cup, but appears on track to better its $27.5 million, full-year after-tax profit.

For the third quarter trading to the end of October, Briscoe Group sales were down 0.46% at $97.5 million, just shy of the record $98 million generated during the corresponding 2011 period.

Group managing director Rod Duke said the third quarter was an "extraordinarily good result", given the "huge challenge" to match the record sales during last year's Rugby World Cup. Sports goods sales were up almost 25% last year.

"Group performance to date and all key performance indicators continue to be ahead of last year for the cumulative nine-month period," Mr Duke said in a statement.

Shares in Briscoes remained unchanged at $2.10 after the announcement.

Craigs Investment Partners broker Peter McIntyre called the result "sound" for the third quarter, noting in the nine months to October, same-store sales overall were up 3.55%, compared with a year ago.

"Briscoes are doing well in a very difficult retailing environment," he said.

On a same-store basis, the group's sales for the third quarter this year were 2.52% below last year's quarter.

Homeware sales lifted by 4.34% to $65.5 million. Sales at Rebel Sport fell from last year's record $35.2 million to $32 million.

Mr Duke was confident of bettering last year's after-tax profit, but cautioned that would be "heavily influenced" by Christmas-period sales.

"We are certainly encouraged by our performance to date and are confident that the group's full-year tax-paid profit will exceed last year's tax-paid profit result of $27.53 million."

 

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