Nick Scali posts $251.1M revenue boost in H1 FY25

Nick Scali (ASX:NCK), a furniture retailer, announced its half-year results for the period ended Dec. 31, 2024.

The group reported a total revenue of $251.1 million, marking a 10.8% increase from the previous year.

However, its net profit after tax fell to $30 million, representing a decrease of 30.2% compared to H1 FY24.

The Australia and New Zealand Group (ANZ Group) revenue reached $222.5 million, a 1.8% decline from the previous period.

Despite this, the group's underlying net profit of $36 million surpassed their previous guidance.

The decline in gross margin to 64.4% was attributed to increased freight rates.

The company's recent expansion into the UK market recorded a revenue of $28.6 million, but faced challenges with a statutory net loss of $4.1 million.

The refurbishment and rebranding of UK Fabb stores contributed to disruptions in written sales orders.

Anthony Scali, Managing Director of Nick Scali, commented, "Re-branded Nick Scali UK stores were the top 3 performing UK stores in January 2025 for written sales orders, only 1 of which was in the top 5 under Fabb."

The directors have declared a fully franked interim dividend of 30 cents per share, slated for payment on March 26.