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Michael Hill International has reported a decrease in same store revenue for Australia
Michael Hill International has reported a decrease in same store revenue for Australia

Michael Hill jewellery struggles in Australia

Preliminary financial results for the second half of 2014 have indicated that Australia continues to be a “difficult” market for Michael Hill International.

Despite achieving a modest 0.8 per cent increase in overall same store sales from AU$260.1 million to AU$262.1 million, the jewellery chain recorded a drop in same store revenue for Australia.

In the six months ended 31 December 2014, same store sales in the region decreased 2.1 per cent from AU$166.6 million to AU$163.1 million, compared to the same period in 2013.

Sir Michael Hill, Michael Hill International chairman
Sir Michael Hill, Michael Hill International chairman

New Zealand fared better, finishing the year with NZ$62.8 million (AU$59.7 m) in same store sales – 4.1 per cent higher than its 2013 result.

Revenue also increased in Michael Hill’s international markets; same store sales rose 4.4 per cent from CAD$34 million (AU$34.5 m) to CAD$35.5 million (AU$36 m) in Canada, and 9.1 per cent from US$4.1 million (AU$5.1 m) to US$4.6 million (AU$5.5 m) in the US.

Furthermore, overall revenue for all stores increased 3.9 per cent to AU$279.3 million.

Company chairman Sir Michael Hill stated that over the six-month period, eight new stores opened and one closed, with 285 stores trading at 31 December 2014.

The update did not include financial information from Michael Hill’s Emma & Roe-branded outlets.

“The group is continuing to refine and test the Emma & Roe retail model,” Hill explained.

Michael Hill launched the Emma & Roe jewellery brand, which specialises in a range of charms, bracelets, necklaces, earrings and stackable rings, in April last year.

The jewellery chain’s full half-year results will be released on Friday, 13 February 2015.

More reading
Flat start to the year for Michael Hill jewellery
Michael Hill jewellery sales on track
Michael Hill enters new market











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