Super Retail Group the owner of BCF and Super Cheap Auto as well as Rebel who are retailers who have been growing their ranging of technology and CE accessories have reported that sales in the last quarter rose 4% to $2.1M.
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Heavy discounting during the peak three months running into December 2024 took its toll with gross margins falling decreasing by 70 basis points to 45.6%, shares in the group fell 13.34% on the news.

Contributing to the growth in sales was 19 new store openings and 14 store refurbishments.

Online sales at the retail group were up 10% to $286 million. While group sales rose 4 per cent to $2.1 billion over the first half – and same-store sales were up 1.8 per cent – net profit was 9 per cent lower to $130 million, below market forecasts. 
Group Managing Director and Chief Executive Officer Anthony Heraghty said “Super Retail Group delivered solid first half sales growth of 4% a pleasing outcome considering the challenging consumer conditions throughout the period, especially in New Zealand.

“Our brands maintained pricing and promotional discipline amidst pockets of elevated promotional activity in the market. The business successfully navigated the peak trade period through strategic initiatives across supply chain, stock availability, merchandising and ranging. These efforts drove accelerated growth in the second quarter at BCF and rebel” he said.

Group gross margin of 45.6 per cent was 70 bps below the pcp although remains above pre-COVID levels.

Cost of doing business (CODB) as a percentage of sales increased by 30 bps to 35.5 per cent reflecting the impact of inflation on wages, occupancy costs and network expansion.

Group inventory is $69 million (or 8 per cent) higher than pcp and reflects the expansion of the store network and a strategic decision to increase stock availability over the key Christmas trading period.

Inventory quality remains high, with aged inventory levels below target the Company said.