The Warehouse Group Ltd
(ASX:WHS) has reported a 21.6 per cent fall in net profit to NZ$60.2 million for the 52 weeks ended 1 August, and says the outlook is uncertain in a difficult trading period.
The continuing decline in CD and DVD sales, estimated to be 15 per cent lower than the year before, affected the result.
But as consumers continue to move to online, the New Zealand-based retailer says it was successful in meeting its on-line launch objectives.
For the period sales were down 2.8 per cent to NZ$1.67 billion while net debt increased to NZ$72.4 million from NZ$47.2 million the year before.
The warehouse group is expecting consumer spending to gradually improve, but says it is too early to provide earnings guidance for the year ahead.
The group has also today announced the appointment of Mark Callaghan has an independent director of the company.
Looking back at the half year result, for the six months to 31 January, The Warehouse Group reported a profit of $45.45 million.
