Michael Hill loses some shine

Michael Hill International sales figures are down 1.8 per cent. Photo / Brett Phibbs

The tough trading climate has seen a dip in sales for Michael Hill International.

Sales figures for the nine months to March 31 released by the jewellery retailer yesterday showed an overall same stores sales decline of 1.8 per cent to $249.4 million.

The Canadian and New Zealand stores were hardest hit, declining 2.9 per cent and 2.7 per cent respectively. Australian same store sales fell slightly by 1.3 per cent. But third quarter same store sales were up 0.8 per cent.

Total sales were up 6.2 per cent to $286.7 million. Total Australian sales were up 7 per cent to $187.7 million, while Canadian sales were up 26.8 per cent to $24.1 million. New Zealand store sales declined slightly from $75.4 million to $74.9 million.

Chairman Michael Hill said that despite the flat sales performance, the company improved its gross profit on a same store basis due to improved margin control and reduced discounting.