Group chief executive Mark Stirton said changes had been made to the group's organisational structure, pricing, product range and cost controls. Photo: SUPPLIED
Retailer The Warehouse Group has reported another full-year loss, but says the outlook is more positive with the second half of the year better than the first.
The group, which owns the 'red sheds', Noel Leeming and Warehouse Stationery stores, said profitability remained below acceptable levels, though it had taken steps to strengthen its financial performance.
Group chief executive Mark Stirton, who took on the role in August, said changes had been made to the group's organisational structure, pricing, product range and cost controls.
Key numbers for the 12 months ended 3 August compared with a year ago:
- Net loss $2.76m vs $54.2m loss
- Group sales $3.09b vs $3.04b
- Underlying profit $1.3m vs $28.9m
- Gross profit margins 32.2 percent vs 33.6 percent
- Warehouse Red Shed sales up 1.4 percent to $1.8b
- Warehouse Stationery sales down 2.5 percent to $226m
- Noel Leeming sales up 3.3 percent to $1.0b
Chair Dame Joan Withers said the board was committed to supporting efforts to restore The Warehouse Group to profitability.
"FY 25 has been another very difficult year for the company and while some meaningful progress has been made, there is still much work to do," she said.
"Economic conditions remain challenging and consumer confidence subdued, however, the group continues to take decisive action in deploying the brand-led strategy we outlined last year and responding to the issues we are facing with discipline and determination."
Stirton, chief financial officer before taking the top job, said solid progress had been made to improve the group's financial position.
"We are focused on improving financial performance and total shareholder return through better sourcing, category management, disciplined stock management, cost control and capital management, whilst investing only in areas that drive margin and growth over the long-term."
He said trading for the first seven weeks of the 2026 financial year remained challenging, with sales and gross profit tracking to similar levels as last year.
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