Officeworks Web Boon: Omni-Channel Saves The Day
Officeworks full year earnings FY14 rose 10% to $103 million as its ‘everyday channel’ strategy pays dividends. Internet sales accounted for 10% of the total, new figures released today show.
The retailer said “sound execution of everyday channel strategy, category innovation and working capital improvements” helped ramp up performance.
Sales rose 4.6% to $1.5 bn and Officeworks recorded sixth consecutive year of growth across its 151 stores.
Online accounted for over 10% of total sales, and grew y-o-y to $190 m – higher than the likes of Dick Smith and Harvey Norman, whose internet sales are hovering under 5%.
There were also strong gains in the B2B market.
The office retailer is aiming for continued volume growth in FY15.
However, similar to Dick Smith yesterday, the retailer alluded to tough market conditions and high competition, amid ongoing cost and margin pressure.
Owner Westfarmers today said Officeworks, Kmart, Bunnings and Coles have all good momentum moving into 2015. The retail giant reported NPAT of $2.6 billion for the year end 30 June – up almost 19% on prior year.
Group sales jumped 4.2% to $ 62.3 bn.