The owner of key retail brands Peter Alexander and Smiggle has weathered a profit fall, after sales dipped in a market marked by cost-of-living pressures.
Premier Investments made a bottom-line net profit of $101.7 million for the six months ended January 24, down 13.1 per cent on the prior corresponding first half.
Overall sales dipped 0.5 per cent to $452.8 million, despite the sleepwear group Peter Alexander performing well, with its sales rising by almost five per cent to $312.3 million.
Sales for kids’ stationery network Smiggle fell 10.7 per cent to $140.5 million, after store numbers were reduced across the country as Premier continues to reset the business.
“Peter Alexander performed strongly again … and continues to consolidate its position as the country’s leading sleepwear and gifting brand,” Premier chairman Solomon Lew said on Friday.
On Smiggle, Mr Lew said Premier was still working on simplifying the business with a view to taking it back to growth in fiscal 2027.
Group Underlying earnings, before interest and tax came to $119.3 million, in line with the previous first half.
Overall, Mr Lew said Premier was a leaner business than it was two years ago.
“In a challenging discretionary retail environment, with consumers continuing to face increased cost of living pressures, the group’s strategy remains anchored on delivering value for customers in our products and shopping experience,” Premier said.
Apart from Peter Alexander and Smiggle, it also owns about 25 per cent of appliances maker Breville.
Premier is forecasting underlying earnings of around $183 million for the 2026 financial year, which would be down from $195.4 million in the previous year.
The group declared an interim dividend of 45 cents per share, after paying no dividend in the previous first half.
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