KEY POINTS:
Postie Plus Group said it had a good last quarter, despite lower sales, with margins up for the period.
Total sales, excluding Arbuckles, were down 8.5 per cent in the period to October 31, but by October sales and margins picked up, chief executive Ron Boskell said.
"The October result indicates that we are indeed holding our own against fierce competition and we are maintaining market share which is giving us fresh encouragement that we can close the gap.
"The sale of Arbuckles, reduction in stock, shifting of the apparel warehouse to a central hub and across the board operating cost reductions have immediately contributed to turning around the losses of last year."
He said the company was now focused on improving stock turn and margins to help lower debt, achieve healthier cash flows and generate fresh sales.
The new advertising campaign featuring Jayne Kiely was working well and had received an enthusiastic response, said Boskell.
"We are not making predictions about the Christmas season spend and we really think it will be well into the final quarter that we make up the losses we are seeking to recover and deliver the momentum for growth."
- NZPA
