Kathmandu half-year profit up 13.7% to NZ$14m

Company News

by Anna Napoli

Kathmandu (ASX:KMD) has announced its half year results for financial year 2019 with profit (for the period attributable to members) (NPAT) rising over 13.7 per cent to NZ$14 million when compared with the year earlier period.

The outdoor clothing and equipment retailer says revenues (from ordinary activities) also lifted, up 13.3 per cent NZ$232 million.

Earnings lifted 10 per cent to $ 28.7 million.

The company has declared an interim dividend NZ 4.0 cents per share.

Kathmandu says  following strong same store sales growth at the start of the financial year, it experienced softer trading conditions in Australia and New Zealand over the Christmas and Boxing Day period. Despite sales being below expectation, the company saw an improvement in retail gross margin. The gross margin increase resulted from less promotional discounting, leading to higher average selling prices.

Shares in Kathmandu (ASX:KMD) closed 1.68 per cent lower to $2.34 yesterday.

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