Super Retail Group, a leading Australian retail company, reported a decline in net profit for the 2024 fiscal year despite an increase in sales. The group’s net profit decreased by 9 percent to $240 million, down from $263 million the previous year. However, sales rose by 2 percent to $3.9 billion from $3.8 billion.
One of the group’s subsidiaries, Supercheap Auto, experienced a 3 percent growth in sales, reaching $1.5 billion. The company’s auto maintenance category, including lubricants, car detailing, and power, emerged as its strongest category, indicating a rise in do-it-yourself activities. Supercheap Auto also saw a 6 percent increase in online sales, which accounted for 8 percent of its total sales. Click & Collect represented 78 percent of online sales. The company opened 11 new stores but closed one, bringing its total store count to 159.
Similarly, Boating, Camping & Fishing (BCF), another subsidiary of Super Retail Group, achieved a 5 percent growth in sales, reaching $879 million. Fishing sales were particularly strong for the company during the fiscal year. BCF also experienced a 9 percent increase in online sales, accounting for 12 percent of its total sales. Click & Collect made up 56 percent of online sales. The company opened seven new stores and closed two, ending the period with 162 stores.
Macpac, an outdoor recreational equipment retailer under Super Retail Group, reported a 3 percent increase in sales to $222 million. Notably, sales in New Zealand increased by 8 percent, while in Australia, they decreased by 4 percent due to milder winter weather. Online sales for Macpac rose by 1 percent, representing 18 percent of total sales. Click & Collect accounted for 16 percent of online sales. The company opened nine new stores and closed one, bringing its total store count to 97.
Rebel, a sports goods retailer within the Super Retail Group, experienced a 1 percent decline in sales, amounting to $1.29 billion. This decrease included a one-off impact of revenue deferral of $7 million related to its new points-based club member loyalty program. Like-for-like sales also fell by 2 percent, reflecting lower transaction volumes and average transaction value. However, Rebel saw strong performance in its sports category, particularly in football and licensed apparel sales. Online sales for Rebel increased by 12 percent, accounting for 17 percent of total sales. Click & Collect represented 28 percent of online sales. The company opened one store and closed one, ending the period with 159 stores.
Looking ahead to fiscal year 2025, Super Retail Group has had a positive start with 5 percent total sales growth and 3 percent like-for-like sales growth in the first seven weeks. However, the CEO and managing director, Anthony Heraghty, acknowledged the uncertainty in the consumer outlook due to ongoing cost-of-living pressures. He emphasized the importance of managing costs effectively while investing in the business for future growth. Heraghty believes that Super Retail Group’s strong customer value proposition, brand strength, and loyal customer base position the company well in a retail market where customers are cautious with their spending and prioritize value-for-money purchases.
In summary, Super Retail Group’s subsidiaries, Supercheap Auto, BCF, Macpac, and Rebel, experienced varying levels of sales growth and online sales performance. Despite a decline in net profit for the 2024 fiscal year, the group remains optimistic about its future performance and continues to focus on offering value to customers while managing costs effectively.
