Ikea Australia has posted its largest profit in its 47-year history in the country.
After worsening losses in recent years threatened to sink the big box retailer, Ikea Australia’s net profit for FY22 hit $82 million, buoyed by pandemic-driven projects, renovations, and refurnishing.
This net profit was up more than $70 million from the previous year’s $7.89 million profit, and a far cry from its $8.7 million loss in 2020.
The aforementioned 2021 turnover was seen as a pandemic-driven miracle, following four straight years of losses.
The ten stores across Australia had last turned a profit in 2016, despite doubling sales from 2014’s $733 million to $1.54 billion in 2020. Soaring costs and ‘franchise fees’ led to four straight years of losses, halted only by the pandemic.
This growth is continuing.
ASIC lodgings show that Ikea Australia’s gross profit in FY22 was $724.08 million, versus a gross profit of $622.76 million in 2021.
Profit before tax in FY22 was $117.6 million, up from $18.22 million.
