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Michael Hill International has reported sales increases both globally and locally for the first half of the 2015–16 financial year
Michael Hill International has reported sales increases both globally and locally for the first half of the 2015–16 financial year

Michael Hill, Pandora increase sales in 2015

Michael Hill International and Pandora have started the year by releasing positive financial results, with the former considering listing on the Australian stock exchange.

For the six months ended 31 December 2015, Michael Hill International recorded global revenue of AU$306.3 million, an 8.7 per cent increase on the previous corresponding period.

Mike Parsell, Michael Hill International CEO
Mike Parsell, Michael Hill International CEO

The Michael Hill and Emma & Roe businesses contributed AU$301.3 million and AU$5 million, respectively.

In Australia, both businesses recorded sales increases in the first half of the fiscal year. Michael Hill generated AU$174.4 million in revenue – a 3.5 per cent rise on the previous corresponding period – and a same-store sales increase of 2.6 per cent to AU$171 million.

Emma & Roe, which is still considered to be in a ‘trial phase’, recorded revenue of AU$4.6 million in the first six months, an 89.4 per cent increase on the previous period, and a same-store sales lift of 49.1 per cent to AU$3.3 million.

Michael Hill and Emma & Roe also recorded total sales increases of 6.1 per cent and 265.8 per cent in New Zealand, respectively.

The first half results were said to include preliminary sales figures for December, although it was not specified when finalised results would be released.

ASX on the cards?

Not long before providing the six-month trading update, Michael Hill International announced its board was considering listing on the Australian Securities Exchange (ASX). The company is currently listed on the New Zealand stock exchange.

While the jewellery chain was founded in New Zealand in 1979, headquarters moved to Australia in 2005. Michael Hill International CEO Mike Parsell explained that over the past decade, the company had progressively migrated most key functions to Australia, including manufacturing divisions and the executive team.

Emma Hill, Michael Hill International chair
Emma Hill, Michael Hill International chair

Company chair Emma Hill added that, as such, the board believed an ASX listing could be “a logical strategic move for the company”.

“The Michael Hill brand is well recognised and supported in the Australian market and an ASX listing could therefore build on our already strong Australian presence,” she stated. “We expect the dominance of Australia in our operations to continue for the foreseeable future.”

It was said that further announcements regarding a possible ASX listing would be made in the coming months.

Michael Hill International has 293 Michael Hill stores across New Zealand, Australia, Canada and the US, and 11 Emma & Roe stores in New Zealand and Australia.

Pandora 2015 results

In other news, Pandora has also released preliminary full-year results indicating that revenue for 2015 increased 40 per cent to DKK16.7 billion (AU$3.6 b) compared to the previous year.

The company had previously forecast financial guidance of more than DKK16 billion (AU$3.4 b).

“All geographic regions contributed with double-digit growth in local currency in the fourth quarter, primarily driven by better than expected Christmas sales,” a Pandora statement read, adding that the updated 2015 financial guidance included “tailwind” from foreign exchange rates of around 11 per cent.

The statement noted that Pandora’s full annual report would be released on 9 February. Jeweller will provide a detailed summary after this date.

Pandora, which is based in Denmark, has a presence in more than 90 countries, with approximately 9,500 points of sale. Globally, the company has more than 1,500 concept stores, including more than 100 across Australia and New Zealand.

More reading
Aussie market picks up for Michael Hill jewellery
New leadership for Michael Hill jewellery
Michael Hill: Aussie sales down, overseas up
Michael Hill makes it in the Big Apple
Pandora jewellery strongest ever result
Pandora jewellery sales on the up and up











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