By Stuart Condie
SYDNEY–Super Retail Group said sales were up 4% at the start of its 2024 fiscal year, but the Australian retail group warned it still expects annual costs to rise as a percentage of sales.
The Australia-listed owner of the Macpac outdoor brand on Wednesday said sales were up 4% on-year for the first 16 weeks of fiscal 2024, driven by growth at its Supercheap Auto and BCF chains. Sales were up 2% on a like-for-like basis, which strips out factors including new store openings.
Chief Executive and Managing Director Anthony Heraghty said he was pleased with the performance, which included a slightly improved margin despite the impact of the weaker Australian dollar on its cost of goods sold. Yet costs remain a concern.
“As a result of continued inflationary pressures on wages, rents and electricity costs, the group expects its cost of doing business as a percentage of sales to increase in FY 2024,” Heraghty said.
Super Retail opened six stores since the start of fiscal 2024 and is on target to open 24 across the full year with annual capital expenditure of 150 million Australian dollars ($95.3 million), he added.
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