Premier Retail has recorded strong growth in its first-half results for 2021, with Peter Alexander and online channels recording standout sales.
Premier Retail has recorded an increase in sales of 7.2 percent in its H1 trading update.
The Group, which houses brands including Peter Alexander, Dotti, Jacqui.E, Portmans, Smiggle and Just Jeans, reported statutory net profits of $188.2 million, up 88.9 percent compared to the same period last year.
“Throughout this devastating COVID-19 global health crisis, our absolute priority has and continues to be the safety and wellbeing of our teams and our customers,” said Solomon Lew, the Chairman of Premier Investments.
“This announcement is a testament to the skills and dedication of our entire global team. To have delivered these record results in a very difficult and volatile environment is a truly outstanding achievement.”
Peter Alexander has led the sales over the first half, reporting sales of $27.7 million, up 43.3 percent from the previous period.
Online sales have skyrocketed throughout the first half, up 61.3 percent on the consecutive period. Furthermore, online sales contributed 20 percent of Premier Retail’s sales in the first half.
The group has referenced that the pandemic made ‘critical strategic’ decisions to invest heavily into increased inventory for the key trading sales events over the span of Black Friday to January.
Peter Alexander has delivered ‘record’ sales | via Peter Alexander
“In the midst of a global pandemic and despite the significant uncertainty at the time, in mid-2020 Premier Retail made the critical strategic decision to invest in increased inventory and build the supply chain to be in stock for the critical summer trading period including Black Friday, Christmas and January sales period,” the Group shared.
“This decision ensured we were in-stock to deliver significantly higher sales and gross margin in 1H21. Those same inventory investment and in-stock strategies have continued into 2H21 and are providing a foundation for the sales and gross margin momentum we are currently experiencing.”
Peter Alexander has recorded strong growth in both online and in-store sales. Its online channel has delivered ‘exceptional’ sales, and will start driving a strategy of offering online exclusive products to further accelerate the e-commerce platform.
Apparel Brands have also been reported as well-positioned for future growth, reporting an uplift in sales of 10.4 percent to $434.5 million.
Premier Retail’s online sales have contributed 20 percent of total sales, now sitting at $156.7 million, up 61.3 percent from the consecutive period. These sales have delivered ‘significantly higher’ EBIT margins than the retail store network, the Group reported, and will continue investing heavily into the channel to further accelerate online growth.
The Group has plans to further invest in the online channels, including technology, digital marketing and DCs.
“The Group today has world-class customer facing websites and will continue to make major investments in its people, its information technology, digital marketing capability and distribution centres to maximise the increasing customer preference to shop online,” the company said in its report.
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