- Personal grooming retailer Shaver Shop (SSG) has achieved a 15 per cent growth sales to $123.6 million in the first half of the 2021 financial year
- Sales were strongest across higher margin, hair cutting categories as customers continued buying beard trimmers, hair clippers and body groomers
- Significantly, online sales grew by 102 per cent to $37.6 million, which represents over 30 per cent of total sales
- Shaver Shop saw an 85.5 per cent increase in net profit after tax to $14.2 million and is in a strong cash position with $41.1 million
- Shaver Shop is down a slight 0.84 per cent and shares are trading at $1.19
Shaver Shop (SSG) has delivered record financial results for the first half of the 2021 financial year.
The personal grooming retailer achieved a 15 per cent growth in total sales to $123.6 million, and online sales increased by a significant 102 per cent to $37.6 million — representing more than 30 per cent of total sales.
SSG found that sales growth was strongest across higher margin, hair cutting categories as customers continued buying beard trimmers, hair clippers and body groomers.
Like-for-like sales also grew by 17.3 per cent which reflects Shaver Shop’s go-to marketing strategy.
The Australian retailer prides itself on customer service as shown by its net promoter score of 85 and its customer experience score reaching 9.7 out of 10.
“We invest heavily in staff training so our customers can shop with confidence and know they will receive the right advice to get the look they are after,” Managing Director and CEO Cameron Fox said.
The company found that, while foot traffic declined in most of its physical stores in Australia and New Zealand, more people were purchasing products due to the staff’s product knowledge. There was also a growing trend towards DIY personal care products which the business expects to benefit from.
“Shaver Shop is in the strongest shape it has ever been in. We have strong cash flow, $41.1 million cash and zero debt and for shareholders we have now delivered 24 months of consecutive like for like sales growth,” Cameron said.
Shaver Shop also saw net profit after tax came in at $14.2 million, which is a significant 85.5 per cent increase from the $7.6 million in the first half of Fy20.
Additionally, SSG has increased its interim dividend payment by 52 per cent to 3.2 cents per share
After the half-year period, the retailer transitioned to a wholly owned corporate store network after acquiring the six remaining franchises for $13 million. Now, Shaver Shop has 121 stores with 114 locations in Australia and seven in New Zealand
Shaver Shop is down a slight 0.84 per cent and shares are trading at $1.19 at midday.