Clothes retailer Postie Plus Group (PPGL) said today that strong sales at the end of its 2006 financial year had continued into the current year.
Sales in the October quarter had risen 13 per cent to $28 million.
"The directors consider this to be a satisfying outcome in
the generally difficult trading conditions and further encouragement for the strategies being actioned across the business," chairman Peter van Rij said at the company's annual shareholder meeting in Christchurch today.
"The benefits of new strategic initiatives are just surfacing and have the potential to unleash greater value," he said.
In the year to July 31, Postie Plus Group recorded a sales increase of 9.8 per cent.
The recovery in sales and earnings in 2006 reflected strong growth across all core brands of the company, Mr Peter van Rij said.
"In contrast to the previous year the company's performance has been pleasing."
Postie Plus increased earnings before interest and taxation by 94 per cent in fiscal 2006.
Explaining the turnaround, Mr van Rij said PPGL had remained true to a business strategy of "delivering quality products at exceptional value to mainstream consumers".
The company hiked its dividend to 7cps from 4cps last year.
Mr van Rij said the economic slowdown had not yet reached its trough, although there had been some relief. He said the Postie brand came into its own in more difficult economic times.
Chief executive Ron Boskell said the Arbuckles chain had been fighting back while Baby City had had substantial growth and Postie Plus had had "another wonderful performance".
"PPGL is well prepared for a tough year," said Mr Boskell.
Postie Plus shares last traded at 96 cents. They have traded between 57 cents and $1.08 in the last year.
- NZPA
