KEY POINTS:
Retailer Smiths City Group Ltd today posted an unaudited pre-tax profit of $2.05 million for the six months to 31 October 2006, down 9.8 per cent on last year.
The decline came even as operating revenue increased 16.3 per cent to $135.293 million. On a same stores basis sales increased 4.4 per cent.
Directors declared an interim dividend of 1.5c per share, unchanged from last year, and carrying no tax credits. The dividend is payable February 9 to those on the share register on February 2.
"The growth in sales over the first half is a good performance," chairman Craig Boyce said.
But competition in the big ticket retail market was intense and the next six months were likely to be challenging.
The property division's result was down on last year but a profit of $453,000 on the sale of the Ngauranga Gorge property in Wellington was included in last year's figures.
The company has moved to larger premises in Greymouth, moved from Mosgiel to larger premises in South Dunedin and opened a new store in Palmerston North.
Its Powerstore has moved to more modern premises in Timaru and Alectra has upgraded its building supplies premises in Rangiora, in North Canterbury.
In December, Smiths City relocated to larger premises in Queenstown and Powerstore completed the purchase of Dunedin appliance retailer, Selectrix.
- NZPA
