By KARYN SCHERER
The Warehouse Group expects to reveal within the next six months details of its plans to expand into Australia.
The discount retailer confirmed yesterday that it is talking to two retailers across the Tasman, and is close to picking which one it wants to be its partner.
It is refusing to say who they are for fear of tipping off potential competitors.
Managing director Stephen Tindall said the company did not want to go into Australia "with guns blazing."
Instead, it hoped to take time to understand its partner's company culture and the market.
"Then slowly but surely, we will ease our way in."
The Warehouse also hopes to reveal its plans to expand into financial services within the next few months.
The company yesterday revealed a 30 per cent increase in its bottom-line profit for the six months to the end of January.
The record interim profit of $48.4 million, on sales of $602 million, delighted analysts and sent its share price up 60c to close at $8.40 on light volumes.
Earnings before interest and tax were also up by nearly 30 per cent to $75.2 million.
Around 1.5 million people now pass through Warehouse stores each week - and half of them buy something.
Clothing, sporting goods and small appliances have all been particularly successful over the past six months.
The Warehouse has also captured around 20 per cent of the pre-pay mobile phone market in only nine months, and is now considering also starting a post-pay scheme.
The company will pay an interim dividend of 17c a share, up from 13c a share last year. It will also pay a special dividend of 18c a share, as it did last year, and has also announced a 1-for-1 taxable bonus issue.
Mr Tindall said the share split would "give Mums and Dads more opportunity to buy shares at a lower dollar value."
The company said it had felt "no impact whatsoever" from rival discounter Cost U Less, which has moved into several New Zealand centres.
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