Furniture retailer Nick Scali has seen its profits rise significantly, with the company preparing to expand in New Zealand.
The ASX-listed company recorded a net profit after tax (NPAT) across ANZ of $54.4 million for the six months ending December 31, a 36.7 per cent increase year-on-year. It added a $6.5 million loss in the UK over the same period. This led the group to record a NPAT of $48 million.
With five stores in New Zealand, Nick Scali is looking to expand its presence in the country to reach 13 stores. It also has 59 stores in Australia, and 19 stores already refurbished in the UK.
Nick Scali acquired UK-based Fabb Furniture in 2024 in the wake of declining revenues. The group continues to see high costs associated with refurbishing former Fabb stores.
“The first half delivered solid sales and profit growth in ANZ with good progress made in the UK as the completion of store refurbishments and rebranding contributed to improvement in written sales orders,” Anthony Scali, executive chair and CEO, said.
“We continue to grow our store network across ANZ with six new stores to be opened in FY26, and several new store opportunities currently under negotiation in the UK.”
Nick Scali said it will continue to introduce more products from its Australian range, depending on their performance.
The company recorded a first-half gross margin of 59.2 per cent, Nick Scali said it expects this margin to improve over the medium term.
