Solomon Lew’s Premier Investments reported a 31% lift in full-year statutory net profit after tax to $338.2 million for the 52 weeks to July 26, up from $257.9 million a year earlier, largely due to the sale of its Apparel Brands portfolio to Myer.

Group revenue rose 1.2% to $831.3 million.

Stripping out gains from the divestment, profit from continuing operations fell 22.5% to $144 million, as stationery chain Smiggle faced softer demand.

Smiggle sales dropped 10.7% to $264 million, with higher living costs weighing on its younger customers.

By contrast, sleepwear label Peter Alexander delivered another record year, with sales up 7.7% to $548 million, supported by store openings in Australia, refurbishments, and an initial UK rollout with three stores and a local website.

Premier’s stake in Breville Group contributed $34.4 million to profit (from $30.2 million), valued at $1.17 billion at year-end.

The company also retains its Melbourne head office and distribution centre and ended the year with $333 million in cash.

Chairman Solomon Lew called FY2025 “a year of significant change” as Premier refocuses on Peter Alexander and Smiggle across multiple markets.

Early FY2026 trading shows Peter Alexander sales up 9.2% in the first six weeks, while Smiggle is down 4%, which the company attributed to a one-off shipping delay now resolved.

Analysts urged caution.

Jarden’s Ben Gilbert flagged ongoing challenges at Smiggle, leadership gaps (no permanent group CEO and no Smiggle CEO), and the risk of “modest consensus downgrades” given a softer FY2026 start and possible UK expansion losses.

Petra Capital’s Sam Haddad said continuing retail results were in line with expectations.

The board declared a fully franked final dividend of 50¢ per share payable in January, down from 70¢ last year, and excluding the earlier $5.65 in-specie dividend distributed via the Myer transaction.