Hallenstein Glasson Holdings has lifted its first-half dividend and says its two core brands, Glassons and Hallenstein Brothers, are in a strong position going into winter trading.

Last month, the company told the market that total group sales for the six months ended February 1 was $146.8 million, an increase of 19.4 per cent over the prior corresponding period, and group profit after tax was in a range of $14.75m to $15.25m versus $9.2m in the prior year.

Net profit in the first half was $15.1m, and the gross margin was up 3.4 percentage points to 61.5 per cent.

It declared a 20 cent first-half dividend, up from 14.5 cents in the 2017 first half.

The company said sales in the first seven weeks of the winter season have been up 18.2 per cent on the previous year, which is “encouraging” and online sales growth is continuing.

The shares rose 2.4 per cent to $5.10, up 2.4 per cent Thursday and 52 per cent in the past 12 months.

“It’s a very strong trading result and a strong dividend,” said Greg Easton, investment adviser at Craigs Investment Partners.

“It has been quite a stunning turnaround from six months ago, they have bucked the trend for a bricks-and-mortar retailer.”

The clothes retailer said its Glassons segment performed very strongly over Christmas in both New Zealand and Australia, with NZ sales in the six months up 9.8 per cent to $50.3m and Australian sales jumping 60.5 per cent to $41.8m.

For Hallenstein Brothers, sales in both countries rose 8.8 per cent to $51m.

Online shopping is now responsible for 11 per cent of group turnover.