KEY POINTS:
Listed retailer Hallenstein Glasson has closed the gap on last year's earnings result after a stronger winter season but still expects to deliver a lower profit, says chairman Warren Bell.
Sales for the year to August 1 were $200.2 million, up from $196.7 million the previous year.
However, net profit was expected to be between $21 million and $21.3 million - a drop of between 1.9 per cent and 3.3 per cent.
"We would have liked a bit more but it's certainly an improvement on the summer season," Bell said.
The news pushed Hallenstein's shares up 16c to $4.61.
At the half-year, Hallenstein's net profit was down 8.6 per cent.
The company is still without a chief after managing director Cliff Kinraid stood down suddenly in May after five years in the job.
Bell said the parting had been amicable.
"He's still available for us as and when we require."
Kinraid's departure was for personal reasons and had no connection to company performance, Bell said.
"To be fair to him he's given us a long period of service and we're very grateful for that."
The role was not an easy one, he said.
"It's a very demanding job with an awful lot of travel and as we expand into Australia it gets worse and worse and worse," Bell said.
The search for a replacement was under way.
"It's not too crucial at this stage because the management team underneath are very strong," Bell said. "We'll just let it follow it's course and make sure we get the right person.
"The worst thing you can do is rush the process and end up not getting it right."
Sales during the second half of the year were up 3 per cent, with gross margins maintained and stock well controlled despite a price sensitive market, the company said.
SALES RISE, PROFIT DROPS
Hallenstein Glasson trading update:
* Annual sales up 1.8 per cent at $200.2m.
* Second half-year sales up 3 per cent.
* Net profit expected to be down up to 3.3pc at $21m to $21.3m.
