Country Rd picks 56pc rise in profit

SYDNEY: Clothes retailer Country Road expects profit before tax for the year ended June 30 to increase by up to 56 per cent from the previous year.

Country Road said yesterday that a pleasing second-half trading performance would see profit before tax for the 2008-09 financial year of between A$21.3 million ($26.5 million) and A$21.8 million.

That would be between 52 per cent and 56 per cent higher than the 2007-08 financial year, the company said.

"This has been an outstanding year for our business and has been achieved in spite of very difficult trading conditions," chief executive Ian Moir said.

Total sales in the second half of 2008-09 were up 16.8 per cent on the previous corresponding period, with full-year sales up 18.4 per cent, Country Road said.

Total retail sales in the second half were up 19.2 per cent on the previous corresponding period and full-year retail sales up 18.7 per cent on the previous period.

Wholesale sales for the full year were A$8 million, attributable to the establishment of Country Road in South Africa.

"We are well placed and on schedule for the launch of Trenery in South Africa in early August and in Australia where we will open five stores in September and a sixth in November," Moir said.

Trenery is a new brand aimed at the 40-plus market.

- AAP