Noni B Group has released its trading update for the 2018 financial year, reporting a growth in online sales, as well as like-for-like sales for the period ending July 1, 2018.
From early estimations, Noni B Group expects its EBITDA earnings for FY2018 to be approximately $37 million, which the company claims is consistent with its earlier projections. This figure has also grown substantially from FY2017 when the company reported an EBITDA of $21.7 million, representing an increase of more than 70 percent for the last financial year.
According to the latest trading update, online sales continued to grow over the last financial year, and now represent 5.8 percent of the company’s overall sales. Over the same period, total sales reportedly grew to approximately $364 million, with like-for-like sales growing by 4.5 percent.
The report states that Noni B is pleased with preliminary results, and claims strong performance over the busy Christmas and Mother’s Day holidays have helped boost the group’s annual sales.
This news comes after the company’s successful acquisition of five of Specialty Fashion Group’s key brands. Noni B Group’s purchase of Millers, Katies, Crossroads, Autograph and Rivers was finalised on July 2, less than two months after news of the transaction broke on May 14.
Specialty Fashion Group offloaded five of its troublesome brands to its main competitor, Noni B Group in a $31 million cash sale. Despite the brands being problematic for Specialty Fashion, Noni B Group is confident it will be able to turn the brands’ performance around by following the same approach it has taken with prior acquisitions.
According to Noni B, it has been working directly with Specialty Fashion on an implementation and integration plan, to ensure the five new brands adapt well to the company’s ownership. In its trading update, Noni B said that as a result of these acquisitions, “the 2019 financial year will be a year of transformation”.
Noni B Group will release its full FY2018 results in late August.