Hallenstein Glasson Holdings has updated its men's style to reflect a more casually dressed consumer.
Hallenstein Glasson Holdings has updated its men's style to reflect a more casually dressed consumer.
The “reality check” Hallenstein Glasson’s boss warned about has officially arrived as sales stayed flat over the Black Friday, Christmas and Boxing Day shopping events.
Sales for the six months to the end of February came in at $223 million, on par with the same period last year, the companyrevealed in a trading update to the market on Thursday morning.
Net profit across the group, which operates women’s clothing brand Glassons and men’s brand Hallensteins, was expected to be 2 per cent higher than last year, between $21m and $21.5m.
It’s the first update the company has given under the leadership of its new chief executive Chris Kinraid, formerly KMD Brands’ chief financial officer.
“The balance sheet for the group remains strong and stock levels continue to be well-controlled, contributing to improved gross margin for the half.” Kinraid wrote in the announcement.
In December, Glassons Australia director and chief executive James Glasson warned shareholders at its annual meeting that the pandemic shopping rebound was wearing off.
“I very much see ... the second half being very much a reality check as to the challenges of an ever‐turbulent nature of fashion retailing.”
It followed a year of sales growth on both sides of the Tasman last financial year when customers returned to physical stores.
Glasson said its stores were the company’s biggest asset in the competitive world of fashion.
Hallenstein Glasson Holding's new chief executive Chris Kinraid, who just left retailer KMD Brands, where he was the chief financial officer.
“To maintain this edge, we must continue to invest in them through the refurbishment and expansion of those current sites we still see potential in.
“We are committed to expanding our physical store footprint in Australia and making strategic investments in digital in both markets.”
He said then that Hallensteins had updated its style to reflect a more casually dressed consumer, while Glassons just launched a new tailored range for women.
Like many executives, Glasson said inflation was being felt across its business.
“We have seen the cost of doing business increase, and this will likely continue; with greater landlord-driven pressures and legislated wage increases.”
The retailer would release its finalised, audited six month financial result on March 28.
Madison Reidy is the host of the NZ Herald’s investment show Markets with Madison. She joined the Herald in 2022 after working in investment, and has covered business and economics for television and radio broadcasters.
