Home > Latest News > BREAKING NEWS: Supply Deals Deliver Record Profits For Harvey Norman Pays Back JobKeeper

BREAKING NEWS: Supply Deals Deliver Record Profits For Harvey Norman Pays Back JobKeeper

Harvey Norman has reported a 78% increase in profits as sales during COVID boom, a major contributor has been the Company’s ability to access stock.

Profit before tax for the year ended 30 June 2021 was $1.183 billion, an increase of $521.24 million, this is up 78.8%, from $661.29 million in the previous year.

Revenue from Harvey Norman owned owned and franchised stores was $9.49 billion for the twelve months ended 30 June 2021 this was up 15.3% or $1.263billion on the prior year.

In Australia, a new premium-format Harvey Norman franchised complex was opened at Hornsby, NSW on 2 October 2020 and three small-format Harvey Norman franchised complexes were closed during the financial year ended 30 June 2021.

The Companies Australian franchising operation also recorded a record profit of $628.19 million, an increase of $279.60 million or 80.2%, from $348.59 in the previous year.

Harvey Normans offshore retail operations generated profits of $240.79 million across 7 overseas countries this was an increase of up by $88.72 million.

According to sources the business was able to secure stock at the expense of other retailers, this stock was then sold at a premium price with the big retailer cutting back on discounting.

The retailer has also bowed to public pressure and repaid $6 million in JobKeeper subsidies to the federal government following record profits for the 2021 financial year.

The ASX-listed company, founded and chaired by billionaire Gerry Harvey, told investors on Tuesday morning it had paid back $6.02 million in JobKeeper subsidies to the tax office, reflecting all the wage subsidies received by company-controlled entities over the 2020 and 2021 financial years.

In a statement to the ASX today management said their number one priority during these tumultuous times for the Board of Harvey Norman Holdings Limited has been to keep our customers safe, protect our staff and enable them to do their job in a safe manner.

Harvey Norman Chairman, Gerry Harvey said “The solid results delivered in the 2021 financial year is a testament to the strength and resilience of the integrated retail, franchise, property and digital strategy” the Company has implemented.

Harvey Norman has reported a 78% increase in profits as sales during COVID boom, a major contributor has been the Company’s ability to access stock.

Profit before tax for the year ended 30 June 2021 was $1.183 billion, an increase of $521.24 million or up 78.8%, from $661.29 million in the previous year.

Sales came in at $9.721 billion up $1.263 billion on the prior period.

The Companies Australian franchising operation also recorded a record profit of $628.19 million, an increase of $279.60 million or 80.2%, from $348.59 in the previous year.

Harvey Normans offshore retail operations generated profits of $240.79 million across 7 overseas countries this was an increase of up by $88.72 million.

According to sources the business was able to secure stock at the expense of other retailers, this stock was then sold at a premium price with the big retailer cutting back on discounting.

In a statement to the ASX today management said their number one priority during these tumultuous times for the Board of Harvey Norman Holdings Limited has been to keep our customers safe, protect our staff and enable them to do their job in a safe manner.

Harvey Norman Chairman, Gerry Harvey said “The solid results delivered in the 2021 financial year is a testament to the strength and resilience of the integrated retail, franchise, property and digital strategy” the Company has implemented.

More to follow.

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