Noni B has released its Christmas trading update, citing a 140 percent growth in total sales that can be attributed to increased efficiencies and improvements to the business’s online presence.
Ending December 30, 2018, Noni B has recorded total sales of $457 million for the first half of FY2019, following the acquisition of Specialty Fashion Group’s Millers, Katies, Crossroads, Autograph and Rivers in May last year. This puts the fashion business on track to achieve annual sales of $1 billion, which it projected it would reach after successfully acquiring the stable of beloved Australian brands.
Noni B expects its underlying EBITDA for H1 to be $29 million as its like-for-like sales continue to improve. As such, the fashion retailer is confident its full-year EBITDA will reach approximately $45 million.
Despite analysts reporting on a decline in foot traffic for Australian retailers over December, Noni B says it saw a like-for-like sales growth of one percent for the month, bringing its H1 result to -3.1 percent, up from its YTD like-for-like sales growth of negative five percent at the end of October.
“Noni B is pleased with this result, which reflects the success of the group’s focus on integration efficiencies, restocking of the newly acquired brands and continued online improvements to date, as outlined at the AGM,” the trading update said.
The women’s fashion business has taken great strides to improve its e-commerce offerings over the last 12-months, after revealing in mid-2018 that 5.8 percent of its business is now generated online. Last August, the company confirmed its earlier sales projections for FY2018, reporting a 67.8 percent increase in online sales over the financial year.
At the time, Managing Director of Noni B, Scott Evan said the business was looking forward to continued expansion and investment in digital growth in 2019, in what he said would be a “year of transformation” for the group.