Retailer Noni B has continued its turnaround from near-collapse in 2014 to more than double first-half sales on strong Christmas trade and the acquisition of Specialty Fashion brands Millers, Katies, Crossroads, Autograph and Rivers.
Shares in the parent company of Rockmans, Table Eight, beme and W. Lane jumped by more than 13 per cent in early trade on Thursday after it announced total sales had grown by 140 per cent to about $457 million in the six months to December 30.
The company said strong Christmas trade saw a like-for-like sales growth of one per cent in December and, as a result, like-for-like sales growth for the first half of FY2019 improved to -3.1 per cent against previously announced like-for-like sales growth of -5 per cent at end October.
In May Noni B acquired a suite of Specialty Fashion Group brands for $31 million in a deal it said would triple annual revenue to about $1 billion, lift volumes of garments sold to 40 million items and expand its store network from 645 to more than 1400.
It was the company’s latest acquisition following the takeover by private equity group Alceon in late 2014, which followed three straight years of losses.
The group expects underlying earnings before interest, tax, depreciation and amortisation for the first half to be approximately $29 million, which is at the upper end of market consensus range of $25 to 30 million.
The group reaffirmed a full-year earnings target of $45 million, dependent on the success of upcoming sales periods, including Mothers’ Day.
Noni B stocks were trading 13.2 per cent higher at $2.83 at 1100 AEDT, still 24 per cent down from October’s all-time peak of $3.70, but up 30 per cent from the same time last year.