By SIMON HENDERY
Retailer Briscoe Group has reported a 3 per cent rise in half-year net profit - a "satisfactory" result given stiff competition in the retail sector, says managing director Rod Duke.
After-tax profit for the group - which runs the Briscoes Homeware and Rebel Sport chains - was $9.86
million for the six months to July 31, up from $9.61 million for the same period last year.
Sales were up 10 per cent, from $128 million to just under $141 million.
Duke said there had been strong discounting from competitors during the period - particularly The Warehouse and Farmers, and Briscoes had been forced to follow suit.
"They [The Warehouse and Farmers] are just wanting to get their volumes up," he said.
The company will pay an interim dividend of 2.75c a share, unchanged from last year.
"Despite the increased competitive activity experienced in the first six months of this year, the directors are confident that the sales growth experienced in the first half will continue in the second six months," the company said.
It plans to open Rebel Sport and Briscoes stores in Lower Hutt this month and a further Briscoes store in Cambridge by the end of the financial year.
The group is also continuing a programme to expand and refurbish existing stores.
Duke has been looking over the past year for potential acquisitions or a new start-up retail investment.
"We're just not interested in going offshore," he said, referring to Pacific Retail Group buying British appliance retailer Powerhouse.
Briscoe Group shares closed unchanged yesterday at $1.74.
