Warehouse Group, the country's largest listed retailer, lifted third-quarter sales 5.5 per cent to $672.2 million and said it's on track to meet its forecast annual profit.
Auckland-based Warehouse, known for its distinctive 'red shed' big barn discount stores, has spent hundreds of millions of dollars overhauling its outlets and buying new businesses to drive growth in the past few years. It retained its forecast for annual profit excluding one-time items of $61 million to $64 million, which would be up between 7-to-12 per cent on last year.
"The third-quarter results are in-line with expectations and consequently our full year profit guidance remains the same," chief executive Nick Grayston said in a statement. "We do note however that risk remains in some seasonal stock lines as we continue to experience a warmer autumn than forecast, which may translate through to weaker demand for some winter seasonal ranges."
In the company's largest unit, its 93 Warehouse stores lifted sales 2.2 per cent to $389.3 million, while same-store sales advanced 1.9 per cent. The latest quarter ran from February 1 through May 1, compared with the year-earlier quarter which covered January 26 through April 26.
Warehouse said sales growth was strongest in leisure through both extended summer seasonal sales and continuity products in hardware and automotive, along with continued growth in home and entertainment.