Briscoe Group, the New Zealand-based operator of Briscoe Homewares, Rebel Sport NZ and Living & Giving, has seen sales success in its end-of-year financial results.

Revenues of $798.8 million represented a 0.93 per cent increase year-on-year. Profits, however, declined.

Both gross profit margin and net profit after tax (NPAT) fell through the year, with the year-end NPAT of $59.2 million representing a 12.9 per cent decrease on the year prior.

Rod Duke, the group’s MD, praised the results despite the year’s challenges.

“To deliver record group sales of $798.8 million in a year marked by persistent pressure on consumer sentiment and discretionary spending is an outstanding result,” he said.

“While gross margin remained under pressure due to a highly competitive retail environment, we continued to focus on disciplined execution – balancing sales performance and gross profit margin, controlling costs and maintaining excellent inventory outcomes.”

Duke said ongoing investments will continue to impact profits, with benefits expected to be reflected in the balance sheet in the new financial year.

“We do not underestimate how challenging the retail environment is likely to remain in the near term. Recent geopolitical disruption in the Middle East has the potential to place renewed pressure on fuel prices, with flow-through impacts on inflation, operating costs and consumer sentiment across the New Zealand economy,” Duke added.

“Notwithstanding these near-term headwinds, we are excited about the potential for our initiatives to drive meaningful benefits over time. These initiatives are expected to support profit growth over the next three to four years, targeting a return to record profit levels as these benefits flow.”