- Due to having a number of stores closed because of COVID-19 restrictions, Adairs (ADH) group sales were down 8.5 per cent for the first 16 weeks of FY22 compared to FY21
- The majority of NSW stores reopened on October 11 and delivered strong sales growth, with ADH expecting its Victorian stores to do the same once open
- Online sales up 15 per cent over the prior corresponding period (pcp) and Mocka furniture brand sales up 25.6 per cent over the pcp
- To maximise sales over Christmas, the company has taken a number of steps including bringing forward purchases and ensuring stores are ready to trade once they reopen
- Adairs is up 3.19 per cent on the market with shares trading at $4.05 at 1:39 pm AEDT
Due to having a number of stores closed because of COVID-19 restrictions, Adairs (ADH) group sales were down 8.5 per cent for the first 16 weeks of FY22 compared to FY21.
However, when compared to pre-COVID levels, group sales were up 14.6 per cent over those recorded in FY20.
The majority of NSW reopened on October 11 and delivered strong like for like sales growth over the corresponding week in FY21.
With the planned reopening of its Victorian stores in early November, Adairs expects similar results.
Additionally, due to demand and online order delays, the company expects customers to shop in-store in the lead up to Christmas.
Online sales are continuing to grow with Adairs online sales up 15 per cent over the prior corresponding period (pcp) and Mocka furniture brand sales up 25.6 per cent over the pcp.
To be successful and maximise sales over Christmas, Adairs has taken a number of steps including bringing forward inventory purchases and ensuring stores are ready to trade once they reopen.
CEO and Managing Director Mark Ronan commented on the update.
“While store closures in our key markets have made the start of FY22 operationally challenging, the key drivers of our growth remain and are all positively balanced,” Mr Ronan said.
“Our products are resonating well with customers, household savings remain elevated, the housing market is strong and more than ever the home is seen as a sanctuary.
“We are excited to be one a clear path to our stores reopening and, as NSW has shown, will benefit from pent up demand as stores reopen in Victora, the ACT and Auckland.”
Adairs was up 2.81 per cent on the market with shares trading at $4.05 at 1:39 pm AEDT.